Ashiana Ltd. has more than 50% shareholders to be retired people and widows who prefer to have regular income.
Ashiana Ltd. has more than 50% shareholders to be retired people and widows who prefer to have regular income. In financial year 2013-14 the company inspite of having less profits followed stable dividend policy and paid dividend. The company also constructed low budget homes for old people.
(a) State the factor helped in deciding dividend pay out ratio.
(b) Identify two values fulfilled by the company.
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(a) Shareholder's preference.
(b) (i) Helping old people by constructing low budget homes.
(ii) Loyalty towards shareholders by paying dividends even when profits were less.
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