Andy | Thursday, November 14, 2019 - 09:28 am This is to explain the way dividends are set. Dividends are paid by public corporations to the owner of their shares. The share owners can be countries, enterprises and investment funds. The amount that is paid as dividend is based on the profit of the public corporation after tax. Not all the net profit is paid as dividend. Each corporation can set the percentage of the net profit that is paid out. The percentage can be set on the Profit Transfer page. The tab is on the corporations page of the enterprise or the country. It can be set per corporation. The percentage of the net profit that is intended for dividend payment, is divided by the number of shares of the corporation and the result is the dividend per share. Each owner of shares, receives an amount that is computed by the dividend per share, multiplied by the number of shares owned. |