what is the differance between Equity shares and preferance
shares?
Answers were Sorted based on User's Feedback
Answer / manas jose
equity shares are different from peference shares in such a
way that on equity shares there is no fixed amount of
intrest paid but on preference shares a fixed amount of
intrest is paid.equity shareholders have voting rights but
preference shareholders don't have voting rights.the risk
involved in case of equity shares is more as compared to
preference shares.
Is This Answer Correct ? | 16 Yes | 0 No |
Answer / amrutha
Equity share holders becomes the owners of the company,and
they dont have a prefetial rite towards divedend and
capital.
Preferance share have preferential rite towards the
divedend and capital
Is This Answer Correct ? | 12 Yes | 1 No |
Answer / rajesh kumar soni
Share is the small part of capital.
Equity share is the real capital of company , in this
equity share holder is the real owner of the company and
share the profit and losses on the basis of capital. It is
more risky and more profitable.
While preferance share is the also part of capital of
company but it share the profit and loss on the basis of
persents.it has right to get dividend before equity share.
It is less risky than equity share.
Ex. 6% preference share.
Is This Answer Correct ? | 5 Yes | 0 No |
Answer / rishikesh imrt business school
RISHIKESH IMRT Business school Lucknow
Equity share holders becomes the owners of the company,and
they dont have a prefetial right towards divedend and
capital.
preference shares a fixed amount of
intrest is paid.
preference shareholders don't have voting rights.the risk
involved
Is This Answer Correct ? | 5 Yes | 0 No |
Answer / sarika ghadge
Equity share holders becomes the owners of the company,and
they dont have a prefetial right towards divedend and
capital.
Preferance share have preferential right towards the
divedend and repayment of capital at the time of winding of
company.
Is This Answer Correct ? | 4 Yes | 1 No |
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