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Dividend
On what amount is dividend calculate d? Is it based on turnover, profits or share capital? How is it divided amongst shareholders?
Replies (2)
Gendrally dividend amount is based % in Paid up share capital of the company.
If company announces 5% dividend it mens 5% on Paidup capital of the company
Divident is always declared as a percentage on the face value of the shares. for example if 10% divident is declared and face value of dividend is 10 then divident is 10*10% i.e 1 re.
as concerned about % then it depend on board subject to approval by shareholders that what % They want to declared, give out of the net profit of the Company after proving dep. and accumulated losses.
as concerned about % then it depend on board subject to approval by shareholders that what % They want to declared, give out of the net profit of the Company after proving dep. and accumulated losses.
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