2007-03-18 23:27:12 · 8 answers · asked by Anonymous in Business & Finance ➔ Personal Finance
when a company reports profit (quarterly, half yearly or annually or even less frequently), after paying off the taxes, it may decide to pay out the dividend to its equity/share holders.
The profit can be used in two ways - either plough it back into the business or pay out dividend to your investors.
If the top management decide on a dividend payout, the amount earmarked for the same is recorded in the account books as proposed dividend as a part of the company's short term liabilities. It is "proposed" because it has still to be paid out and thus is also labelled as a liability for the company.
Once it is paid out, the liability is erased and the payment is recorded as "dividend paid" in the profit and loss statement of the company
2007-03-20 00:06:06 · answer #1 · answered by Anonymous · 3⤊ 0⤋
Proposed Meaning
2016-10-05 11:47:33 · answer #2 · answered by ? 4 · 0⤊ 0⤋
Define Proposed
2016-12-16 10:42:09 · answer #3 · answered by ? 4 · 0⤊ 0⤋
The proposed dividends of a company is the amount of dividends that the company s directors have agreed to pay to its shareholders. This amount has not been paid yet at the time of being proposed.
2015-08-29 07:49:52 · answer #4 · answered by ashly 2 · 0⤊ 0⤋
Proposed Dividend is treated as current liability because
1) these are the liability which will are payable in near future and
2) they all depends on approval of shareholder in case of dividend
3) Its an Statutory Liability means liability created by some provisions
For more details check Schedule VI of Companies Act
http://www.taxfaq.in/balance-sheet-format.html
and for new companies Act http://www.taxfaq.in/download-companies-act-2013-pdf.html
2013-12-19 00:12:05 · answer #5 · answered by ? 2 · 2⤊ 0⤋
proposed dividend mm…….oho..oho…(problem in throat) that is actually if u ask me….that is a very…..ohoh….ohooho…oho…..due to flue (problem in throat) ….proposed dividend …..that is….. proposed ……that means when v propose an accountant with any thing………..
if he is a man he will multiply the idea….. and sum…… and everything ….and he give a return ….of sum which v call as proposed multiple…..and in other case when we propose a women (accountant women) she will take all the asset of man and give the man back the liabilities….literally here man is under going a continues series of dividing ….or division or some thing like that……….so this process is callllld …….. proposed dividend ,…….thank u….
2007-03-18 23:49:50 · answer #6 · answered by firu 2 · 0⤊ 4⤋
A proposed dividend is one that the directors of a company have said they intend to pay, but which has not yet been paid.
2007-03-18 23:45:54 · answer #7 · answered by fgpietersz 1 · 0⤊ 0⤋
These are proposed payments to the shareholders of a limited company.
2007-03-18 23:47:17 · answer #8 · answered by Celeste 1 · 1⤊ 0⤋