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Which of the following is NOT a form of dividend?
AInterest on debentures
BStock dividend (bonus shares)
CShare repurchase
DCash dividend
Answer & Solution
Correct answer: A. Interest on debentures
1. Interest on debentures is a cost of debt, NOT a dividend.
2. Dividend forms: cash, stock (bonus), share repurchase, property dividend.
3. Interest is paid before computing PAT.
_Source: ICAI BoS CA Inter Paper 6A, Ch 8 "Dividend Decisions", §3_