Internal Control Questionnaires and Verification Procedures

Dividends

1. Check the computation of dividends paid by multiplying the number of shares outstanding at each dividend date by the appropriate per share amounts approved by the board of directors.

2. Review and document, by memorandum, the flow of dividends from authorization to payment, and determine that the liability added immediately after declaration of any dividend is equal in amount to the cash dividend declared.

3. Obtain a schedule of any cumulative preferred dividends in arrears.

4. Review and determine the propriety of handling of unclaimed dividend checks.

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