Robert Coles Sun, Jan 13, 2013 @ 07:01 AM. If Internet memes have taught us anything, it's that there are plenty of ways to waste time, be it at work, at home on the couch, or on Facebook at a restaurant.
Retained earnings and stockholders' equity are decreased by a per-share cash dividend that is paid on common and preferred shares of stock, and not on shares of repurchased or treasury stock.
The amount of dividends is added to net loss to arrive at the retained earnings ending balance. The retained earnings beginning balance is usually the retained earnings ending balance from the previous period. The amount of dividends is deducted from net income to arrive at the retained earnings ending balance.