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महाराष्ट्र राज्य शिक्षण मंडळएचएससी वाणिज्य (इंग्रजी माध्यम) इयत्ता १२ वी

Dividend once declared cannot be revoked.

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प्रश्न

Dividend once declared cannot be revoked.

पर्याय

  • True

  • False

MCQ
चूक किंवा बरोबर
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उत्तर

This statement is True.

Explanation:

Once a dividend is declared by the company’s Board of Directors and approved by the shareholders in the Annual General Meeting (AGM), it becomes a legal obligation and cannot be revoked. The company must pay the declared dividend to eligible shareholders within the prescribed time. Failure to do so can lead to legal consequences under company law.

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Legal Provisions on Dividend
  या प्रश्नात किंवा उत्तरात काही त्रुटी आहे का?
पाठ 10: Dividend and Interest - Exercises [पृष्ठ १५३]

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बालभारती Secretarial Practice [English] Standard 12 Maharashtra State Board
पाठ 10 Dividend and Interest
Exercises | Q 1 D) 4. | पृष्ठ १५३

संबंधित प्रश्‍न

Write a word or a term or a phrase which can substitute the following statement.

Number of days within which payment of dividend be completed by company, after its declaration.


State whether the following statement is true or false.

All categories of shareholders get a fixed rate dividend.


State whether the following statement is true or false.

IEPF is the fund created by company.


Complete the sentence.

Dividend can be declared only on recommendation of______.


Answer in one sentence.

Who has right to recommend Dividend?


Select the suitable option for the following.

Govt. Fund ____________.


Select the suitable option for the following.

Preference Shares ____________.


Correct the underlined word and rewrite the following sentence.

Dividend must be paid within 60 days of its declaration.


Correct the underlined word and rewrite the following sentence.

Dividend is payable every year, irrespective of the profits made by the company.


Arrange in Proper Order:

  1. Recommendation of Dividend
  2. Checking sufficiency of profits
  3. Board Meeting

Study the following case/situation and express your opinion :

The Board of Directors of STAR Co. Ltd. which is a listed company recommends a dividend of ₹ 15/- per share to be paid in cash.

  1. Is it justified to pay the dividend firstly to its Preference Shareholders and then after to Equity Shareholders?
  2. Is the AGM required to approve the same?
  3. Can the company pay dividend in cash?

Justify the following statement.

Listed Company has to follow additional guidelines on dividend matters.


Answer the following question.

Discuss legal provisions for declaration of dividend.


Arrange in Proper Order:

(a) Board Meeting

(b) Shareholder approval

(c) Board's Recommendations


Explain the following term/concept in detail:
Listed Company


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