Cost of equity
This query is : Open
Querist : Anonymous
Querist :
Anonymous
(Querist)
27 December 2011
sir,y is it that the dividend tax is considered while calculating the cost of pref shares but ignored while calculating cost of equity
28 December 2011
Preference and equity dividend includes dividend distribution tax suppose preference dividend RS.10 that includes dividend distribution tax. so while calculating cost ,10 is considered as dividend.
Company pays amount to the share holders after deducting dividend distribution tax.
Company pays amount to the share holders after deducting dividend distribution tax.
Querist : Anonymous
Querist :
Anonymous
(Querist)
28 December 2011
sir suppose div is 10 and dt is 10 percent y do we consider cost of pref 11 and cost f equity 10
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