Question 86 Chapter 4 of +2-B

Question 86 Chapter 4 of +2-B

Dividend Per Share (Not For PSEB Students)

86. From the following Balance sheet of ABC Ltd. as on 31st March 2016

AS ON 31ST MARCH 2016  
Equity share of 100 each 3,00,000
12% preference share of 100 each 1,00,000
Reserve and surplus1,00,000
15% debentures1,00,000
Sundry creditors50,000
Fixed Assets4,00,000
Current Assets 2,00,000
Preliminary expenses25,000
Underwriting commission 25,000

Other information :
Net profit before Interest and tax ₹ 2,00,000
Rate of Tax 50%
A dividend of 40% is declared on equity share
Calculate dividend per share


The solution of Question 86 Chapter 4 of +2-B: – 


Number of equity share=Equity share capital
Face value of shares
 =₹ 3,00,000
 ₹ 100


Profit Distributed as equity Dividend=40% of Equity Share Capital  
 =40X₹ 3,00,000
 =₹ 1,20,000  


Dividend per Share=Profit Distributed as equity Dividend
Number of equity share
 =₹ 1,20,000
 =₹ 40 per Share


Also, Check out the solved question of previous Chapters: –

Usha Publication – Accountancy PSEB (Class 12) – Volume I – Solution

Usha Publication – Accountancy PSEB (Class 12) – Volume II – Solution

Check out T.S. Grewal +2 Book 2020@ Official Website of Sultan Chand Publication

2 Book 3 min 225x300 - Question 86 Chapter 4 of +2-B  - USHA Publication  12 Class
T.S. Grewal’s Analysis of Financial Statements

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