Exercises · Q7
Q.Distinguish between dividend and bonus paid by a co-operative society.
Maharashtra MsbshseTextbookSubjectiveImportance★★★★★est
54% · 7/13 Questions
You're viewing a preview — the full solution, concept, methods & PYQ mapping are locked.
Start your 14-day free trial to unlock the full solution →Dividend and bonus are both ways in which a co-operative society passes on its profit to members, but they reward two quite different things.
| Basis | Dividend | Bonus |
|---|---|---|
| Paid on / basis | On the member's paid-up share capital | In proportion to the business (patronage) the member has done with the society |
| What it rewards | The capital invested by the member | The use the member has made of the society |
| Rate / limit | Paid at a limited (capped) rate fixed by the bye-laws within the legal ceiling | Not tied to shareholding; depends on the volume of the member's dealings and the profit available |
| Who benefits more | A member with many shares | A member who does much business with the society |
Unlock everything free for 14 days
- Full step-by-step solutions
- Concept-first explanations
- Methods, shortcuts & mistakes
- PYQ mapping + timed mock tests
Full access for 14 days. No credit card required.