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Is it compulsory to pay preference dividend on profits or the payment of preference dividends depends on management discretion(so the management does not pay any preference dividend despite profits)?
Provided there is enough profit, the fixed preference dividend has to be paid (before any ordinary dividend is paid).
If a company has earned profits but does not want to pay preference dividend, is the company allowed to do so or preference dividend has to be paid at any cost no matter what?
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