The Motley Fool Discussion Boards

Previous Page

Investing/Strategies / Retirement Investing

URL:  http://boards.fool.com/okay-im-a-cpa-but-clearly-im-confused-ive-21662278.aspx

Subject:  Re: What to do with a losing IRA Date:  11/27/2004  12:30 AM
Author:  Quakeboy02 Number:  43303 of 76095

Okay, I'm a CPA, but clearly I'm confused. I've never heard of companies paying dividends to creditors. My understanding is that dividends are a distribution of earnings to owners, i.e. stockholders.

I think people are using terms a little too loosely; especially since you're a CPA. A bond owner is a creditor. The company owes him the principal and interest on the bonds(debt) he has purchased from the company.

Hedge - wondering if he has been pedantically correct ;)
Copyright 1996-2014 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us