Rosana

What Is a Patronage Dividend?



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A patronage dividend is a cash dividend paid to shareholders based on their level of business activity with the company. The amount of the dividend is typically proportional to the amount of business done with the company. Patronage dividends are most commonly paid by cooperative businesses, such as credit unions and agricultural cooperatives. They are … Read more

Income Smoothing.



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Income smoothing is the process of managing a company’s reported income so that it is more stable and predictable. This can be done through a variety of methods, such as using accrual accounting, managing inventory levels, and timing the recognition of revenue and expenses. The goal of income smoothing is to make a company’s financial … Read more