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Payment of dividend in year of loss
Accountancy
when company used to pay dividend in the year in which it made losses, from its past reserves and accumulated profits, there is one condition that the rate of dividend must not be more than the average rate of dividend Of past 3 years, Question is, what if company didn't declare dividend in last 3 years, or didn't declare in 1 or 2 yrs in last 3 years, then how that max rate will be calculated?
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