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प्रश्न
Explain the following term/concept in detail:
Preference shares
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उत्तर
As the name indicates, these shares have certain preferential rights distinct from those attached to the equity shares.
The shares which carry the following preferential rights are termed preference shares:
- A preferential right to receive the payment of dividends during the Lifetime of the company.
- A preferential right to receive the return of capital in the event of winding up of the company. The holder of the preference share has a prior right to receive a fixed rate of dividend before any dividend is paid to the equity shareholders. The rate of dividend is prescribed at the time of issue.
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संबंधित प्रश्न
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.
The holders of these shares are entitled to participate in the surplus profit.
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 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?
Answer in one sentence.
What are cumulative preference shares?
Correct the underlined word and rewrite the following sentence.
Equity shares get dividend at fixed rate.
Study the following case/situation and express your opinion.
Mr. Satish is a speculator. He desires to take advantage of growing market for company's product and earn handsomely
- According to you which type of share Mr. Satish will choose to invest?
- What does he receive as return on investment?
- State any one right which he will enjoy as a shareholder.
Justify the following statement.
Equity shareholders are real owners and controllers of the company.
Justify the following statement.
Preference shares do not carry any voting rights.
Justify the following statement.
Different investors have different preferences.
Justify the following statement.
Equity share capital is risk capital.
Explain the following term/concept in detail:
Equity shares
Justify the following statement.
Preference Shareholders get priority in dividends over equity shareholders.
