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.
Answer: By subtracting dividends paid to shareholders from the net income, managers are able to calculate the change in retained earnings. [ Reason: A company can calculate its retained earnings by subtracting dividends paid to shareholders from net income. Source: ].