Dividend Definition

A dividend is a distribution of a percentage of a firm’s earnings, decided by the board of owners, to a class of its investors. Dividends can always be issued as funds payments, as gives of stock, or other property. A dividend is allocated as being a fixed amount every share, with shareholders receiving a dividend in proportion on their shareholding. For the joint stock company, paying dividends isn’t an expense; quite, it is this division of after tax profits involving shareholders.