Help: dividend related query

[Deepak]

Guys one of my assignments contains a dividend question. The question basically asks to calculate dividend per share to be paid by a firm. But what has left me stumped is that there is no mention of the number of shares the firm has, how am I supposed to calculate it then? The question does mention the figures for preference share capital, equity share capital, share premium & retained earnings.

Any inputs?

 

[DuckThor Evil]

Can you type the question exactly as it is and/or give the numbers and other data?

Is there enough retained earnings to pay dividend after preference share capital has gotten it's piece?

edit: does it say what is the price of the stock?

 

[Mize]

sounds like you're either supposed to determine the number of shares based on other numbers or it's a trick and there isn't money for a dividend.

 

[Deepak]

There is it:

The shareholder funds of XYZ Co. for the year ending March 31 are as follows:

12% preference share capital $ v

Equity Share capital $ w

Share premium $ x
Retained earnings $ y


The earnings available for equity shareholders are $ z which have been included as part of the retained earnings.
Calculate the Maximum dividend per share (DPs) the firm can pay.