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Differece b/t Equity and Prefferece Capital?
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Answer / shiva krishna g
Equity share holders are the owners of the company.They
have the right to receive dividends.Preference share
holders has the prference to get fixed rate of interest of
profit for their shares.
| Is This Answer Correct ? | 23 Yes | 2 No |
Answer / raghavendra
1.equity is nothing but ownership of the business euity
share holders wud get profit wen company earn the profit
but not fixed rate of dividend 2.prfference share holder
enjoy the prefference right as (a) return of the capital on
wound up of the company (b). fixed rate of divident
| Is This Answer Correct ? | 4 Yes | 0 No |
Answer / naveen kumar pasumarthi
acording to the companies act there is no rule to dividend
to the equity share holders
| Is This Answer Correct ? | 4 Yes | 1 No |
Answer / rakesh katanguri
equity capital has high risk and high returns also but
prefference capital has no risk and fixed rate of returns
| Is This Answer Correct ? | 3 Yes | 0 No |
Answer / nimmasudhakar reddy
Equity share holders can get dividend on company profits,who
are owners of the company.But prefference share holders can
get interest on their share capital amount .equity share
holders have to face more risk but they can get more
benifits also .but preffernce share holders have no risk so
they get fixed amount only
| Is This Answer Correct ? | 3 Yes | 0 No |
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A company maintains a margin of safety of 25% on its current sales and earns a profit of Rs. 30 lakhs per annum. If the company has a profit volume (P/V) ratio of 40%, its current sales amount to A. Rs. 200 lakhs; B. Rs. 300 lakhs; C. Rs. 325 lakhs; D. None of the above.
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