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what is the difference between equity shareholder and
prefrence shareholder?
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Answer Posted / surabhi
holder of equity shares is known as equity shareholder
while holder of preference shares is known as preference
shareholder..preference shareholders(PSH)get dividend at
fixed rates and no voting rights in the matters of the
company. Equity shareholders (ESH)get dividend after
dividend is paid to preference shareholders. ESH get voting
rights and dey have right over the reserves and surplus of
the company...at the time of winding up of d company PSH
capital is redeemed before ESH's capital...
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