Cash and bonus issue - dividend, Finance Basics

Cash and Bonus Issue - Dividend

For a firm to pay cash dividends, it should contain adequate liquid funds.Though, under conditions of liquidity and financial constraints, a firm can pay stock dividend or Bank matter. Bonus matter involves matter of additional shares for free or instead of cash in their shareholding proportion to existing shareholders. Stock dividend or Bonus matter involves capitalization of retained earnings and does not rises the wealth of shareholders. This is since R. Earnings is converted into shares.

Posted Date: 1/31/2013 2:41:42 AM | Location : United States







Related Discussions:- Cash and bonus issue - dividend, Assignment Help, Ask Question on Cash and bonus issue - dividend, Get Answer, Expert's Help, Cash and bonus issue - dividend Discussions

Write discussion on Cash and bonus issue - dividend
Your posts are moderated
Related Questions
After carefully reading all the available information, prepare a two page (double-spaced) essay and answer the following questions: Assume that we have the following data: C=100+0.

Advantages of Overdraft Finance 1. It is useful in financial crisis such an accountant cannot forecast because of abrupt fall in profits so liquidity problems. 2. In

Solve the following Linear Programming Problem using Simple method. Maximize Z= 3x1 + 2X2 Subject to the constraints: X1+ X2 = 4 X1 - X2 = 2 X1, X2 = 0

Question 1 a) What are the main characteristics of an Efficient Tax system? b) What are the instruments of Public Finance and explain their efficiency. c) Explain what

when will I receive my order and how will I receive it?

Important Factors for Expectation Theory The following circumstances are essential for the expectation theory to hold. i) Ideal capital markets exists where there are many

IRR or Internal Rate of Return This method is a discounted cash flow technique that uses the principle of NPV.  It is described as the rate such equates the present value of c

Discuss the applicability of an operating cycle in the vegetable growing business

Computation of Weights or Proportions In computation of the weights or proportions of different capital components, the following values might be used like as: Mar

Some of the policies decided by the proprietor are: 1) Time of operating the business 2) Promotion through advertising or special offers 3) Dealing with suppliers and cus