Hiii
I want to confirm something
If a company had issue bonus shares in MAY 2011 and the AGM is to be held on 27.09.2011 and dividend is to be proposed in AGM then for finalizing the BS as on 31.03.2011, dividend on Bonus shares is to be paid or not??
dividend cannot be paid on bonus shares until one year has been completed from date of issue of these shares
tell me if m wrong
cheers
Hi,
It may propose the dividend and retain it as a liability ....
May not necessarily pay it off to the shareholders....
And dividend is to be paid...for dividend will naturally be declared to all the shareholders existing as on the date of closing of accounts..
Proposed Dividend is calculated on closing share capital of the year for which dividend is being proposed.As dividend was proposed for the year end 31.03.2011 bonus shares will not be included as it was issued in May 2011 ie the next financial year.
| Originally posted by : CA RICHA BOTHRA | ||
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Proposed Dividend is calculated on closing share capital of the year for which dividend is being proposed.As dividend was proposed for the year end 31.03.2011 bonus shares will not be included as it was issued in May 2011 ie the next financial year. |
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AGREED.
Oh...right.. its for 31.03.2011 na....im wrong...didnt look out properly........it will not be paid..
Hi
i would like to know that proposed dividend is paid on right shares or not
same as bonus shares
Dividends will be given on final dividends, but profits ca be reduced on the day of proposed dividends, same case with bonus issue and employee stock options I guess.
CAclubindia
