07-12-2009, 08:19 PM
Dividend is first of all proposed by the Board of Directors. That is called proposed dividend. A proposed dividend does not create a liability for the company.
The proposed dividend is then approved by the shareholders at the AGM. As soon as the dividend is approved, it should be treated as a current liability. Approved dividend and declared dividend are the same thing.
The proposed dividend is then approved by the shareholders at the AGM. As soon as the dividend is approved, it should be treated as a current liability. Approved dividend and declared dividend are the same thing.