Warning

Info

Warning

Info

Warning

Info

LSDefine

Simple English definitions for legal terms

noncumulative dividend

Read a random definition: permutation

A quick definition of noncumulative dividend:

A noncumulative dividend is a part of a company's earnings or profits that is distributed to its shareholders. This can be in the form of cash or additional shares. Unlike a cumulative dividend, if a noncumulative dividend is not paid in a particular year or period, it does not accrue for the benefit of a preferred shareholder. This means that if a dividend is not paid in a specific year, the shareholder will not receive it in the future.

A more thorough explanation:

A noncumulative dividend is a portion of a company's earnings or profits distributed pro rata to its shareholders, usually in the form of cash or additional shares. Unlike a cumulative dividend, a noncumulative dividend does not accrue for the benefit of a preferred shareholder if there is a passed dividend in a particular year or period.

For example, if a company declares a noncumulative dividend of $1 per share and fails to pay it in a particular year, the shareholders will not receive the missed dividend in the future. The dividend is not cumulative and does not carry over to the next year or period.

Noncumulative dividends are common for common stock, while cumulative dividends are more common for preferred stock. This is because preferred shareholders expect a fixed dividend payment and are willing to forgo the possibility of higher dividends in the future.

noncumulative approach | noncumulative preferred stock

Warning

Info

General

General chat about the legal profession.
main_chatroom
👍 Chat vibe: 0 👎
Help us make LSD better!
Tell us what's important to you
14:03
I just cant remember if thats how Davis did it last year
WorthlessAttractiveZombie
14:03
I applied Sept 1, and people who applied after me are getting decisions so....
we thinking GULC wave today?
HopefullyInLawSchool
14:03
@Skydog1969: They might be only releasing results for YM right now
14:03
could just be that you are not an automatic yes or no, but maybe they want to look at your app more. Don't lose hope
gonna get a virtual spray bottle
14:04
true that could be it
WorthlessAttractiveZombie
14:04
@Skydog1969: yeah, I am not a California resident so I technically have no reason to be applying there
HopefullyInLawSchool
14:04
im a resident so for me even scarier
14:05
@WorthlessAttractiveZombie: My legal address says I am from NJ but I live in CA.
14:06
I have no business applying based on my stats but its where I went to undergrad
14:07
Has anyone not heard back from any schools and is pushing two months in a couple weeks?
Wait gulc wave would go crazy
1a2b3c4d26z
14:15
I love that someone went through the effort of making that post
1a2b3c4d26z
14:17
Nvm their previous posts are hilarious
HopefullyInLawSchool
14:18
Ya this guy is really funny and smart like omg hes just the best
WorthlessAttractiveZombie
14:19
I wonder if they go to the university of YM
HopefullyInLawSchool
14:19
His Irl name is Joe M.
WorthlessAttractiveZombie
14:20
Davis needs to stop playing
HopefullyInLawSchool
14:21
I got two A's today, but my hunger is never ending
14:21
give me UC Davis
babycat
14:22
just straight up evil
hey all good morning
are we expecting any waves today?
HopefullyInLawSchool
14:24
Maybe Pepperdine
HopefullyInLawSchool
14:24
But I think more will arrive tomorrow
babycat
14:24
no one wants to talk about how GULC’s accommodations office is evil with me?
babycat
14:25
GULC to a pregnant 2L who requested final exam accommodations for the week she is expected to give birth: "Motherhood is not for the Faint of Heart."
LSD+ is ad-free, with DMs, discounts, case briefs & more.