Which version of profit is used as the basis for determining the amount of dividend paid to shareholders?

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Profit after taxation is widely used as the basis for determining the amount of dividend paid to shareholders. This is because it takes into account all expenses, including taxes, and provides a more accurate measure of the company's financial performance. Additionally, dividends are paid out of after-tax profits, so this measure aligns with the purpose of paying dividends.

Which Version of Profit Is Used as the Basis for Determining