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Question
______ participate in the management of their company.
Options
Preference shareholders
Depositors
Equity shareholders
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Solution
Equity shareholders participate in the management of their company.
Explanation:
Equity shareholders are the real owners of the company and have voting rights. Therefore, they can participate in the management and decision-making of the company.
RELATED QUESTIONS
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.
Debenture holders are ______ 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.
Equity shareholders enjoy a fixed rate of dividend.
Complete the sentence.
Bonus shares are issued as gift to ______
Correct the underlined word and rewrite the following sentence.
Equity shares get dividend at fixed rate.
Correct the underlined word and rewrite the following sentence.
Preference shares get dividend at fluctuating 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.
Distinguish between the following.
Equity shares and Preference shares.
Justify the following statement.
Preference shares do not carry any voting rights.
State any 4 features of shares.
Justify the following statement.
Equity shareholder enjoys certain rights.
Explain the following term/concept in detail:
Equity shares
Justify the following statement.
Preference Shareholders get priority in dividends over equity shareholders.
