Under CBCA, dividends may only be paid if

Under CBCA, dividends may only be paid if

Under CBCA, dividends may only be paid if:

A. The company is solvent and can pay debts as they fall due

B. Shareholders approve the dividend

C. The company has positive revenue

D. The auditor approves the dividend

Answer: A

Explanation: Solvency test is mandatory for dividends; board declares dividends (no shareholder approval required), revenue alone is insufficient.