Question

In general, only common stock holders who own stocks before the _____________ are entitled to receive dividend payments.

Group of answer choices

payment date

ex-dividend date

record date

declaration date

Answer 1

Answer - c (Record date)

The time line dates in dividend payment are

1. Declaration date
2. Ex- dividend date
3. Record date
4. Payment date

Record dateThe record date is the cut off date used to determine which shareholders of a stock are entitles for dividend

An investor is eligible to get dividend declared by the company, if he owns the stock before record date

The ex dividend date is one business day prior to the record date , if the investor completes his purchase of stock on or before ex dividend date then he is eligible for dividend on the next day that is record date