Sch 3

The total dividend that should be paid is 8lakhs. In that current year profit is 3 lakgs and from that we will pay to preference share holders of Rs.1,57,500. So the remaing amount of profit that can be used to pay for dividend is of Rs.1,42,500. Out of total 8 lakhs - 1,42,500(Paying from profits). The ramaining amount that should be utilized from reserves is 8,00,000 - 1,42,500 = 6,57,500. When ever we pay dividend to equity share holders first we will pay to preference share holders after that only we pay to equity share holders

Likith kumar Duganapalli

Moderator

06-Aug-25 10:42

Thank you!:)

Thread Starter

Sr the Unique

CA Inter

★ 10

06-Aug-25 11:05