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Why must preferred stock dividends be subtracted from net income

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Question;? Why must preferred stock dividends be;subtracted from net income in computing earnings per share? Why is common stock;usually not issued at a price that is less than par value?;? What three conditions must exist;before a cash dividend is paid? Contract the effects of a cash dividend and a;stock dividend on a corporation?s balance sheet.

 

Paper#39785 | Written in 18-Jul-2015

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