Dividends are paid out of profits, and:

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asked Apr 6, 2020 77.3k views

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Conor Taylor · Answer 1 · 2020-04-11T13:49:32+0000

Answer:

Dividends are paid out of profits, and the corporation is able to re-invest the profit in the business (called retained earnings) and pay a proportion of the profit as a dividend to shareholders.

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Dividends are paid out of profits, and:

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