Divisible Profit & Distributable Profit

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CA Huzefa Hamid

CA Huzefa Hamid (Querist)
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11 March 2011 Can anyone explain me Deifference between the Divisible Profit & Distributable Profit.

Arpit Shah

Arpit Shah (Expert)
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24 January 2016 Profit or a portion of profit that can be legally distributed as a dividend to the shareholders is known as Divisible Profit. All profit of the company is not divisible and number of factors should be considered while determining divisible profit of the company.

Arpit Shah

Arpit Shah (Expert)
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24 January 2016 ACCOUNTING, FINANCE the amount of a company's profit that is available to pay dividends to shareholders in a particular period: The Companies Act only allows dividends to be paid out of a company's distributable profits

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