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Give Three Differences Between Shares and Debentures. - Commerce

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Question

Give three differences between Shares and Debentures. 

Distinguish Between
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Solution

Shares Debentures 
The shares are owned funds of the company.  The debentures are borrowed funds of the company. 
Shares represent the capital of the company.  Debentures represent the debt of the company. 
The holder: of shares is known as a shareholder. Thie holder of debentures is known as a debenture holder. 
Shareholders get the dividend.  Debenture holders get interested.  
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2018-2019 (March) Set 1
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