How to Calculate Dividend – Pure Passive income…

How to Calculate Dividend – Pure Passive income
Only few people make money in the share market, because they know, “how to play the game of investing”.
If you will start learning and understanding the Concepts and calculations, of the market you will be in the circle of “winners”.
Before investing money, you should invest, your time.
“Learn to earn”.
To day you will learn what is Dividend, Dividend yield and Dividend Yield Calculation.
When you are investing money in Saving Bank Accounts, Term deposits, Recurring Deposits, Public Provident fund, and in any post office saving schemes or certificates, you will receive INTEREST.
But, if you will invest, in shares of a company, your returns will be paid as, Dividend.
Dividend yield indicate the absolute Returns on investments (R O I) as on investing day and will be calculated on last dividend paid by the company.
If you have purchased shares of X Y Z company, at the rate of Rupees 100 per share, company has given dividend of, Rupees 10 per share your dividend yield will be 10 %, means returns on your investments of Rupees 100, will be Rupees 10. So your dividend yield is 10 % per annum.
If you have invested, in any particular company, and company maintains the dividend, at the same rate, your dividend yield, remain the same. If company gives more dividends, then your yield will be higher, and vice versa.

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