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    Question

    In an organization, profit after interest, tax, and

    dividend on preference shares is 4,00,000. The number of equity shares is 40,000 and the dividend payout ratio is 40%. The dividend per share is:
    A 4 Correct Answer Incorrect Answer
    B 25 Correct Answer Incorrect Answer
    C 10 Correct Answer Incorrect Answer
    D 6 Correct Answer Incorrect Answer

    Solution

    EPS = 4,00,000 / 40,000 = 10 Dividend payout = 10 x 40% = 4.

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