What is the difference between equity shares & preferred shares?
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Answer / anilkumar t.m
Equity share holders are real owner of the businness and
they have the voting right in the company. At the time of
winding up of the business this are the person who share
the benefits at last.
Preference share holders are have prefrential right but
they are not real owner of the business.At the time of
winding up they get there benefit irrespective of loss or
gain in the bussiness before the equity share holders.
| Is This Answer Correct ? | 110 Yes | 4 No |
dividends are share to prefernce share holders and eqity
share holders but preference share holders will get fixed
rate of return but equity share holders will get after
payment of preference share holders
| Is This Answer Correct ? | 24 Yes | 1 No |
Answer / shraddha kasalkar
for equity shares payments of dividend is not compulsory
where as for preference share payment of dividend is
compulsory. preference shares are fully redemable where as
equity shares are not.
| Is This Answer Correct ? | 16 Yes | 4 No |
Answer / santosh kumar patra
equity share holdres are the owner of the company and
preferance share holders are not the owner of the company.
| Is This Answer Correct ? | 14 Yes | 4 No |
Answer / sandipan chakraborty
Preference shares are limited,but equity shares are for
public equity.Preferred share holders get dividend first &
then the equity holders
| Is This Answer Correct ? | 7 Yes | 2 No |
Answer / mandar
Equity share holders are real owner of the businness and
they have the voting right in the company. At the time of
winding up of the business this are the person who share
the benefits at last.
Preference share holders are have prefrential right but
they are not real owner of the business.At the time of
winding up they get there benefit irrespective of loss or
gain in the bussiness before the equity share holders.
| Is This Answer Correct ? | 5 Yes | 0 No |
Answer / swanand
preference shares pay a fixed dividend that does not
fluctuate, although the company does not have to pay this
dividend if it lacks the financial ability to do so.
| Is This Answer Correct ? | 5 Yes | 3 No |
Answer / sunita
equity shares pay dividend to share holder but its depends
on the profit of the company and also decision to dividend
declare or not, depend on the companies board of
directors.if they want to retain their profit for the future
investment they can retain. But in preference shares they
pay a fix rate of interest, they don't have share in company
profit. At the time of winding up they gives first
preference to pay the amount.
equity share holders have a voting right to elect in board
of directors but in preference share holders don't have any
such kind of rights
| Is This Answer Correct ? | 2 Yes | 0 No |
Answer / rahul kanojiya
equity shares are those shares which are not preference
shares . they are risk shares . it means that the person
who is taking equity shares are not having the fixed
dividend . and in the preference shares the shareholders
are having the fixed dividend
| Is This Answer Correct ? | 0 Yes | 0 No |
Answer / kamal chandra tiwari
equity shares is a general shares it is purchase any
persons because short amount & short premium shares, but
not possible any persons preferred shares is a campany
holder shares.
| Is This Answer Correct ? | 17 Yes | 30 No |
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