Explanation:
Equity shareholders do not receive a fixed rate of dividend; their dividend depends on the company's profits and the decision of the board of directors.
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Question
Equity shareholders enjoy a fixed rate of dividend.
Options
True
False
MCQ
True or False
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Solution
This statement is False.
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Sources of Owned Capital - Shares
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Chapter 2: Sources of Corporate Finance - Exercises [Page 35]
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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.
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Answer in one sentence.
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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.
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Answer the following question.
Define preference shares. What are the different types of preference shares?
Give one word or phrase for the following sentence:
What is Share?
Explain the following term/concept in detail:
Equity shares
Explain the following term/concept in detail:
Preference shares
