Dividend shares of the company is handing out to shareholders from retained earnings for that part. Dividend and the shareholders to invest in shares of the company's earnings as part of the remuneration is paid to capital.
About the dividend:
Stock dividend is distributed on stock dividends, usually issued by the company with additional stock or part of the treasury shares as dividends instead of cash distributed to shareholders. Stock account in shareholders 'equity dividends are transferred between different projects, the company's assets, liabilities, shareholders' equity has no effect.