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प्रश्न
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.
- Is it justified to pay the dividend firstly to its Preference Shareholders and then after to Equity Shareholders?
- Is the AGM required to approve the same?
- Can the company pay dividend in cash?
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उत्तर
- Yes, it is justified to pay the Preference shareholders first and then the Equity Shareholders. Preference shareholders are entitled to dividends before it is paid to the equity shareholders as per the terms of the issue of preference shares. Equity shareholders will get dividends from residual profits. i.e. after paying to preference shareholders.
- Yes, AGM is required to approve the dividend. The dividend, as recommended by the Board of Directors, is approved and declared by a resolution passed at the Annual General Meeting by the shareholders.
- Dividend payable in cash should be paid by cheque or warrant or by electronic mode to the entitled shareholder.
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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.
Shareholders decide about the rate and amount of profit to be given as dividend.
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.
The meeting at which final dividend is approved is ______.
Complete the sentence.
Predecided and a fixed rate of dividend is paid to ______.
Select the suitable option for the following.
Preference Shares ____________.
Correct the underlined word and rewrite the following sentence.
Preference shareholders are given the last priority in payment of dividend.
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:
- Closure of Register of Members.
- Intimate Stock Exchange of Board Meeting.
- Intimate Stock Exchange of declaration of dividend.
Explain the following term/concept.
IEPF
Justify the following statement.
Listed Company has to follow additional guidelines on dividend matters.
Dividends can be paid out of capital.
