Cpt account
This query is : Resolved
Girish S Khanvilkar
(Querist)
13 June 2015
On 01-04-2005, 5% cumulative preferance share capital is Rs.2,00,000
equity share capital is rs.5,00,000
During the years 2004-05 and 2005-06 the dividend declarations totaled rs.8,000 and Rs.16,000 respectively. what is the amount of dividend paid to equity shareholders for year 2005-06 ?
equity share capital is rs.5,00,000
During the years 2004-05 and 2005-06 the dividend declarations totaled rs.8,000 and Rs.16,000 respectively. what is the amount of dividend paid to equity shareholders for year 2005-06 ?
CA. Sunil Gokhale
(Expert)
14 June 2015
Annual preference dividend = 5% x Rs.2,00,000 = Rs.10,000
Dividend paid in 2004-05 = Rs.8,000. Therefore, only pref. dividend was paid in this year and that too partially. Arrears of pref. divided will be Rs.2,000 and that will have to be paid in subsequent years.
Dividend paid in 2005-06 = Rs.16,000. Of this Rs.2,000 will be arrears of Pref. dividend of 2004-05 + Rs.10,000 pref. dividend of 2005-06 i.e. total pref. dividend of Rs.12,000.
Equity dividend in 2005-06 = 16,000 - 12,000 = Rs.4,000
Dividend paid in 2004-05 = Rs.8,000. Therefore, only pref. dividend was paid in this year and that too partially. Arrears of pref. divided will be Rs.2,000 and that will have to be paid in subsequent years.
Dividend paid in 2005-06 = Rs.16,000. Of this Rs.2,000 will be arrears of Pref. dividend of 2004-05 + Rs.10,000 pref. dividend of 2005-06 i.e. total pref. dividend of Rs.12,000.
Equity dividend in 2005-06 = 16,000 - 12,000 = Rs.4,000
Message likes :
1 times
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- EPF ECR NEW FILE SEP 17TH 2026
- Oct 2025 Invoices
- Clarification Requested: Gift → NRO → NRE → Overseas Transfer - USA/CANDA (FEMA & Tax Compliance)
- Capitalgain tax purposes for valuation report compulsory
- Import of Software Service.
- TAX AUDIT ON PROFESSIONAL INCOME
- Under marginal scheme
- GST on Renting godown to KFCSC for Storage of Raagi
- SECTION 393(3) TAX ON CASH WITHDRAWAL
- Utilisation Fy 25-26 TDS challans in Fy 26-27 TDS Return
- Capital Gail Exemption Certificate
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
