Retained earnings are the cumulative profits that a business holds onto for operations after any dividends have been paid. Retained earnings refer to the portion of a company’s net income that ...

Both types of dividend reduce retained earnings and impact shareholders' equity. However, only cash dividends reduce cash on the balance sheet. Retained earnings represent the cumulative net ...

Calculate dividends by subtracting year-end retained earnings from start-year retained earnings, then net income. Dividend payout ratio (DPR) is found by dividing total dividends by net income to ...

Stock dividends represent a reallocation of part of a company's retained earnings to the common stock and additional paid-in capital accounts. Cash dividends are cash outflows to a company's ...