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What is the order of 4 dates that occur in the payment of a cash dividend?

User Pindiwala
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Final answer:

The order of 4 dates in the payment of a cash dividend is as follows: dividend declaration date, ex-dividend date, record date, and payment date.

Step-by-step explanation:

The order of 4 dates that occur in the payment of a cash dividend depends on the company's dividend declaration date, ex-dividend date, record date, and payment date.

1. Dividend Declaration Date: This is the date when the company's board of directors announces the dividend, and it represents the official commitment to pay the dividend.

2. Ex-Dividend Date: This is the date after which a stock no longer trades with the right to receive the upcoming dividend. Buyers of the stock on or after this date will not receive the dividend.

3. Record Date: This is the date when a company reviews its share ownership records to determine who is eligible to receive the dividend. Investors who hold the stock on this date will receive the dividend.

4. Payment Date: This is the date when the dividend is actually paid to eligible shareholders.

User Sajadkk
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