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प्रश्न
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.
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उत्तर
- According to me, Mr. Satish should invest in Equity shares. So that he can take the overall benefit of the profits and also enjoy all the rights and can participate in the management of the company.
- He may receive the dividend as a return on investment. But, the dividend received by the equity shareholder is fluctuating. It depends on the profit of the company.
- The right which he will enjoy as a shareholder are as follows:
- Right to vote: It is the basic right of equity shareholders through which they elect directors, alters Memorandum and Articles of Association, etc.
- Right to share in profit: It is an important right of equity shareholders. They have the right to share in profit when distributed as dividends.
- Right to inspect books: Equity shareholders have the right to inspect statutory books of their company.
- Right to transfer shares: Equity shareholders enjoy the right to transfer the shares as per the procedure laid down in the Articles of Association.
APPEARS IN
संबंधित प्रश्न
Select the correct answer from the options given below and rewrite the statement.
______ is a smallest unit in the total share capital of the company.
Select the correct answer from the options given below and rewrite the statement.
______ are residual claimants against the income or assets of the company.
______ shares are issued free of cost to existing equity shareholders.
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.
State whether the following statement is true or false.
Equity share capital is known as venture capital.
State whether the following statement is true or false.
Equity shareholders are described as ‘shock absorber’ when company has financial crisis.
Complete the sentence.
The convertible preference share holders have a right to convert their shares into ______
Equity shareholders elect their representatives called ______.
Complete the sentence.
Bonus shares are issued as gift to ______
Answer in one sentence.
What are preference shares?
Correct the underlined word and rewrite the following sentence.
Preference shares get dividend at fluctuating rate.
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.
State the features of equity shares.
Answer the following question.
What are preference shares? State it’s features
Give one word or phrase for the following sentence:
What is Share?
Justify the following statement.
Equity shareholder enjoys certain rights.
Explain the following term/concept in detail:
Equity shares
Explain the following term/concept in detail:
Preference shares
