Top Financial Terms You Must Know! Dividend, Interest (Series 5)
By understanding various financial terms and the mechanism in which it functions, one can reach great heights. Finance is a vast subject which has several branches.
By understanding various financial terms and the mechanism in which it functions, one can reach great heights. Finance is a vast subject which has several branches.
Dividend is the appropriation out of the profits of the company. It is distributed among the shareholders of the company. The term dividend is derived from a Latin word “Dividendum” which means that which is to be divided. Dividend is the part of the annual net profit of the company which is appropriated among the shareholders of the company. Dividend is a share in the annual distributable profits of the company to which the shareholders are entitled when it is formally declared by the company.