Basic query in accounting

This query is : Resolved

pavankumar (Querist)
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18 October 2013 Mr X. Purchase 5000 equity shares of Rahul Ltd. Having face value of Rs10 for 25 on 1/10/2011.The company announces dividend @10% on 15/3/2012 for the year 2011. On 1.2. 2012 he purchases 500 equity shares of Rahul Ltd for Rs 10.

In the above context
Q1)Whether Dividend @10% will also be paid on purchases made on 1.2.12 ?Why?

I will be very much thankful to you.

Nikhil Kaushik

Nikhil Kaushik (Expert)
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19 October 2013 that shall depend on the book closure date decided by the company in this regard. Normally shareholder books are closed 3-4 days prior to the meeting for declaration of dividend. Therefore, it is quite plausible that Mr X shall receive dividend on 5,500 shares.

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