EveningFall, Inc. pays a quarterly dividend of $3.40 per share. Which of the following statements is most accurate concerning which shareholders will receive the dividend payment?
The shareholders who are identified as owning the stock on the record date will receive the dividend, even if they sell their stock before the dividend checks are mailed.
The shareholders who own the stock the day the dividend is paid will receive the dividend.
All shareholders who own the stock on the record date, but sell the stock before the dividend checks are mailed, forfeit their right to receive the dividend and the money reverts back to the corporation.
The shareholders who own the stock on the date the dividend is declared will receive the dividend, even if they sell their stock before the dividend checks are mailed.