Dear Friends,
Can anyone tell me the formula for calculating the Number of shares outstanding if the Dividend amount and the rate of dividend has been provided?
Thanks in advance.
Regards,
Priyanka.M.S
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Calculation of shares
Replies (6)
give me the exact scenario..whether they given dividend amt per share or ..and whether they given share capital amt without giving face value/share.
Dividend rate= (dividend per share / face value) X 100.
If we knw the share cap amount then we can find by using above formula.
No. Of shares outstanding = dividend amount / dividend rate. This gives you the value of share capital. Divide that by fv of each share, that gives you the number of outstanding shares.
ofcourse if we knw the dividend amount(not per share) then we can apply the above formula as siddarth said. Approaches depends on data's given.
Thanks all for ur replies..:)
Agree with Siddharth...
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