can anyone please explain me the amended treatment of proposed dividend on equity while calculating intrinsic value of share in 'valuation of shares chapter'?
As per my opinion, now in question balance sheet there would be no proposed dividend rather dividend payable can be there?
Still in some question of PM, there is proposed dividend in balance sheet, so what will be treatment for that in above question???
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proposed dividend
Replies (3)
Hi,
Clear Question pls
Pracice manual not yeat updated. so better to consider that as current liability (i.e. dividend which is proposed by board of directors and approved by the share holders.
but in the above case we can not call it as proposed dividend.
but upto get updated addition, better to consider this as company current liability.
if proposed dividend is showing in balance sheet, the same has to be reversed.
check the below video
https://m.youtube.com/watch?v=IlbBnEYC8wU
thanks
check the below video
https://m.youtube.com/watch?v=IlbBnEYC8wU
thanks
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