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Instructions: what is the correct answer Cash dividends are paid on the basis of the number...

Instructions: what is the correct answer

Cash dividends are paid on the basis of the number of shares

a. authorized

b. issued

c. outstanding

d. outstanding less the number of treasury shares

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Answer #1

Answer: outstanding

Cash dividend paid to each outstanding share of the firm. Outstanding shares means total number of equitysahre that are issues and subscribed by the frim. total number of shares currenly heldby the share-holders. total Dividend must be divided by the Number of Outsrandingshares to find the dividned per share.

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