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Finance / July 9, 2018 / Hattie Munoz

Accounting Equation is based on the double-entry bookkeeping system, which means that all assets should be equal to all liabilities in the book of accounts. All the entries which are made to the debit side of a balance sheet should have a corresponding credit entry in the balance sheet. Thus the basic accounting equation which is also known as the balance sheet equation.

Dividend per share (DPS) is the sum of declared dividends issued by a company for every ordinary share outstanding. The figure is calculated by dividing the total dividends paid out by a business, including interim dividends, over a period of time by the number of outstanding ordinary shares issued. A company's DPS is often derived using the dividend paid in the most recent quarter, which is also used to calculate the dividend yield.

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