Advertisements
Advertisements
प्रश्न
Justify the following statement.
Equity share capital is risk capital.
Advertisements
उत्तर
Justification:
- Equity shareholders own the company and bear ultimate risk associated with the ownership.
- The equity shares do not enjoy preference for dividend. Also, they do not have priority for repayment of capital at the time of winding up of the company.
- Equity shareholders do not carry any fixed commitment of dividend. They are paid dividend at the rate recommended by Board of Directors.
- If there is no profit, no dividend will be payable. Similarly, if there is less profit, lesser dividend will be paid.
- The fortune of equity shareholders is tied up with the ups and downs of the company.
- They are described as ‘shock absorbers’ when company has financial crisis.
Hence, equity share capital is risk capital.
संबंधित प्रश्न
Select the correct answer from the options given below and rewrite the statement.
______ are residual claimants against the income or assets of the company.
______ participate in the management of their company.
______ shares are issued free of cost to existing equity shareholders.
Select the correct answer from the options given below and rewrite the statement.
The holder of preference share has right to receive ______ rate of divided.
Select the correct answer from the options given below and rewrite the statement.
The accumulated dividend is paid to ______ preference shares.
The holder of ______ preference shares has the right to convert their shares into equity shares.
Write a word or a term or a phrase which can substitute the following statement.
The ‘real masters’ of the company.
Write a word or a term or a phrase which can substitute the following statement.
Name the shareholders who participate in the management.
Write a word or a term or a phrase which can substitute the following statement.
The value of share which is written on the share certificate.
Write a word or a term or a phrase which can substitute the following statement.
The value of share which is determined by demand and supply forces in the share market.
Complete the sentence.
Bonus shares are issued as gift to ______
Answer in one sentence.
What is a share?
Answer in one sentence.
What are preference shares?
Correct the underlined word and rewrite the following sentence.
Equity shares get dividend at fixed rate.
Justify the following statement.
Equity shareholders are real owners and controllers of the company.
Justify the following statement.
Different investors have different preferences.
State any 4 features of shares.
Answer the following question.
Define preference shares. What are the different types of preference shares?
The dividend is paid first to ______ shareholders.
Justify the following statement.
Equity shareholder enjoys certain rights.
