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Answer in brief. State any four points to be kept in mind by a Listed Company with respect to Dividend. - Secretarial Practice

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Question

Answer in brief.

State any four points to be kept in mind by a Listed Company with respect to Dividend.

Answer in Brief
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Solution

When a company’s shares are listed in the Stock Exchange, the company has to follow additional requirements with respect to listings agreements. They are as follows:

  1. Notify the stock exchange where the company’s securities are listed at least 2 days in advance of the date of the Board meeting held to consider the recommendation of the final dividend.
  2. Intimate Stock Exchange immediately about the declaration of the dividend after the Board Meeting.
  3. Give notice of Book closure to the stock exchange at least 7 working days before the closure.
  4. Close the Register of members and the Transfer Register.
  5. It must use an electronic mode of payment such as Electronic Clearing Services (ECS) or National Electronic Fund Transfer (NEFT); as approved by the Reserve Bank of India (RBI).
  6. The listed company has to express the dividend on a per-share basis only.
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Chapter 10: Dividend and Interest - Exercises [Page 156]

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Balbharati Secretarial Practice [English] Standard 12 Maharashtra State Board
Chapter 10 Dividend and Interest
Exercises | Q 5.1 | Page 156

RELATED QUESTIONS

Final Dividend is declared by ______.


Dividend is recommended by ______________.


Select the correct answer from the options given below and rewrite the statement.
Dividend amount should be transferred in a separate Bank Account within ____________ days of its declaration


Select the correct answer from the options given below and rewrite the statement.
_________ warrant is a cheque containing dividend amount sent by company to the shareholders.


Select the correct answer from the options given below and rewrite the statement.
___________ is not linked to profits of the company


Match the pairs.

Group ‘A’ Group ‘B’
a) Dividend 1) Equity Shareholders
b) Interest 2) Appropriation of profit.
c) Interim Dividend 3) Recommendation of Secretary.
d) Final Dividend 4) Registrar of company.
e) Fluctuating Rate of Dividend 5) Obligatory to pay
  6) Decided and Declared by the Board of Directors.
  7) Decided by Board; declared by Members.
  8) Decided by President of India.
  9) Company not allowed to pay.
  10) Declared by Govt. of India

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

The meeting where the final dividend is declared.


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

The shareholders who get dividend at a fixed rate.


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

The shareholders who get dividend at a fluctuating rate.


State whether the following statement is true or false.

Dividend is decided by the Board.


State whether the following statement is true or false.

Dividend is decided by the shareholders.


Complete the sentence.

Word dividend is derived from Latin term ______.


Answer in one sentence.

What is Dividend?


Answer in one sentence.

What is final Dividend?


Select the correct option from the bracket.

Group ‘A’ Group ‘B’
a) Dividendum 1) ____________
b) Interest 2) ____________
c) ____________ 3) Final Dividend
d) ____________ 4) Interim Dividend
e) Govt. Fund 5) ____________

(Creditors, IEPF, Latin term, At Board Meeting, At AGM)


Correct the underlined word and rewrite the following sentence.

Special Resolution must be passed to declare Final Dividend


Explain the following term/concept.

Profit


Explain the following term/concept.

Final Dividend


Explain the following term/concept.

Rate of Dividend.


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