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Can capital reserve use for distribution of dividend? - Answers

Capital reserves typically cannot be used for the distribution of dividends, as they are funds set aside for specific purposes, such as future investments or to cover potential losses. Dividends can usually only be paid from profits or retained earnings. However, in some jurisdictions, certain types of capital reserves may be converted into distributable reserves if approved by shareholders. Always consult relevant laws and regulations for specific guidelines.



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Can capital reserve use for distribution of dividend? - Answers

https://math.answers.com/math-and-arithmetic/Can_capital_reserve_use_for_distribution_of_dividend

Capital reserves typically cannot be used for the distribution of dividends, as they are funds set aside for specific purposes, such as future investments or to cover potential losses. Dividends can usually only be paid from profits or retained earnings. However, in some jurisdictions, certain types of capital reserves may be converted into distributable reserves if approved by shareholders. Always consult relevant laws and regulations for specific guidelines.



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https://math.answers.com/math-and-arithmetic/Can_capital_reserve_use_for_distribution_of_dividend

Can capital reserve use for distribution of dividend? - Answers

Capital reserves typically cannot be used for the distribution of dividends, as they are funds set aside for specific purposes, such as future investments or to cover potential losses. Dividends can usually only be paid from profits or retained earnings. However, in some jurisdictions, certain types of capital reserves may be converted into distributable reserves if approved by shareholders. Always consult relevant laws and regulations for specific guidelines.

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      Capital reserves typically cannot be used for the distribution of dividends, as they are funds set aside for specific purposes, such as future investments or to cover potential losses. Dividends can usually only be paid from profits or retained earnings. However, in some jurisdictions, certain types of capital reserves may be converted into distributable reserves if approved by shareholders. Always consult relevant laws and regulations for specific guidelines.

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