1. Press Ctrl-A ©G Dear 2009 – Not to be sold/Free to use Share Dividends Stage 6 - Year 11 General Mathematics Preliminary

2. 2 Share Dividends (1/5) Shares earn money through: Dividend Payments Increasing Value or not.

3. 3 Click in/Click Out Share Indexes are to give a guide as to how the Share market is performing. All Ords All Ordinary Shares ASX 200 Top 200 Companies ASX 50 Top 50 Companies ASX 200 All Ordinaries Index Shares - Australian All Ordinaries (2/5) ASX 200 Index ASX 50 Index All Ords ASX 50

4. 4 Share Dividend Calculation (3/5) Share Dividends are calculated by dividing the Profit to be distributed to share holder by the number of shares in the company. Share Dividends = Profit to be distributed to share holder The number of shares in the company Eg. $3 million profit is to be shared among 150 000 share holders. Share Dividends = 3 000 000 150 000 = $20

5. 5 Share Dividend Yield (4/5) Dividend Yield gives the true worth of the shares. It is the dividend as a percentage of the share price. Dividend Yield = Dividend Share Price x 100% Eg.A company with share price of $9.60 declares a dividend of $1.20. Dividend Yield = 1.20 9.60 x 100%= 12.5%

6. 6 Share Dividend Yield (5/5) Compare the dividends for... Commonwealth Bank Dividend = $1.50 Share Value= $4.50 Dividend = $ 8.00 Share Value= $32.00 Dividend Yield = 1.50 4.50 x 100% ≈ 33.3% Dividend Yield = 8.00 32.00 x 100% ≈ 25% Qantas gives the best yield