Question

If the face value of share is Rs. 100 when market value was Rs. 90. Company declared 20% dividend. The dividend per share is ______.

Options

• Rs. 24

• Rs. 20

• Rs. 300

• Rs. 150

Answer 1

If the face value of share is Rs. 100 when market value was Rs. 90. Company declared 20% dividend. The dividend per share is Rs. 20.

Explanation:

Dividend is calculated on the face (par) value. 20% of Rs. 100 = 100 × 20% = Rs. 20 per share, so market price Rs. 90 is irrelevant.