Question

In terms of dividend payment procedures, the payment date refers to the date: Group of answer choices upon which the stock pays an extra dividend. on which the firm actually sends the dividend to investors. on which the right to the current dividend no longer accompanies the stock. on which a firm's board of directors issues a statement declaring the dividend.

Answer 1

In terms of dividend payment procedures, the payment date refers to the date:

on which the firm actually sends the dividend to investors.

Step-by-step explanation:

There are three dates with regard to the payment of dividends. The first date is the declaration date when the board of directors of the company decides to pay the dividends to stockholders. The second date is the date of record when the records are checked to establish the stockholders entitled to receive dividends. The last is the payment date when actual payment of the dividend is made to the investors through the issue of dividend warrants or certificates.