Advertisements
Advertisements
Question
Answer in one sentence.
What are Equity Shares?
Advertisements
Solution 1
Equity shares are ordinary shares which are not preference shares. Equity share is a risky capital.
Solution 2
Meaning:
Equity shares are also known as 'ordinary shares'. For legal reasons, a company can not exist without equity shares.
Definition:
Companies Act 1956 defines equity share as "those shares which are not preference shares."
APPEARS IN
RELATED QUESTIONS
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.
Debenture holders are ______ of the company.
______ is paid on borrowed capital.
Write a word or a term or a phrase which can substitute the following statement.
A document of title of ownership of shares.
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.
State whether the following statement is true or false.
Equity shareholders are described as ‘shock absorber’ when company has financial crisis.
Equity shareholders elect their representatives called ______.
Answer in one sentence.
What is a share?
Distinguish between the following.
Equity shares and Preference shares.
Answer the following question.
Define preference shares. What are the different types of preference shares?
Answer the following question.
What are preference shares? State it’s features
The dividend is paid first to ______ shareholders.
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
Justify the following statement.
Preference Shareholders get priority in dividends over equity shareholders.
