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4 cards from this section. Quick, good the night before a test.
What is a share?
Think about how ownership is divided in a business.
Define face value.
It's the value used for accounting purposes.
What is the face value of a share?
It's not the price you pay in the market.
Dividends are always paid in cash.
Consider the different ways a company can reward its shareholders.
If a company’s stock is trading at ₹300 and declares a dividend of ₹15 per share, what yield does this represent?
Relate dividend to market value to find the percentage.
A company announces a 10% dividend on shares with a face value of ₹50. If you own 20 shares and the market value rises to ₹80, calculate your total dividend income and yield.
Use dividend per share to find total income, then yield based on the rising market price.
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