A dividend is a distribution of a company's earnings to its shareholders, typically done through cash payments or distributing other property. The most common type is a cash dividend, where shareholders are paid in cash per share held. Other types include bonus shares (stock dividends), share repurchases, property dividends (payment made in assets), scrip dividends (promissory notes), and liquidating dividends (return of original capital). For cash dividends, companies must have positive retained earnings and sufficient cash reserves. Bonus shares increase the number of shares without increasing capital. Share repurchases return cash to investors by reducing outstanding shares.

1. Meaning : A DIVIDENT IS A DISTRIBUTION OF A PORTION OF A COMPANIES’S
EARNINGS TO ITS SHAREHOLDERS BY CASH AND OTHER PROPERTYS …..

2. CASH DIVIDEND
BONUS DIVIDEND
SHARE REPURCHASE
PROPERTY DIVIDEND
SCRIP DIVIDEND
LIQUIDATING DIVIDEND

3. A CASH DIVIDEND is the most common form of dividend . The share holder
are paid In cash per share . The board of director announces the dividend payment on
the date of declaration .the dividends are assigned to shareholders on the date of record
the dividend are issued on the date of payment but for distributing cash dividend ,the
company needs to Have positive retained earnings enough cash for the payment of
dividends

4. BONUS SHARE is also called as the stock dividend . Bonus shares
are issued by the Company when they have low operating cash , but still
want to keep the investors happy . Each equity share holders receives a
certain number of additional shares depending On the number of share
originally owned by the shareholders
Ex : If a person possesses 10 shares of company A , and the company declares
Bonus share issue of 1 for every 2 share , the person will get 5 additional shares
In his account . From company’s angel , the no . Of shares and issued capital in
the company will increase by 50% (1/2shares )

5. Share repurchase occurs when a company buys back its
own shares from the market and reduces the number of
shares outstanding . This is considered as an Alternative to the
dividend payment as cash is returned to the investor
through another way.

6. The company makes the payment in the form of assets
in the property dividend . The assets could be any of
This equipment , inventory , vehicle or any other assets
The value of the asset has be restated (in a different way)
at the fair value while issuing
property dividend

7. Scrip dividend is a promissory note to pay the
Share holders later . This type of dividend is used
When the company does not have sufficient funds for
The issuance of dividends

8. When the company returns the original capital contributed by the
Equity share holders as a dividend , it is termed as liquidating
Dividend, it is termed as liquidating dividend . It is often seen as
Sign of closing down the company

9. Any questions ?.....