Company Shares and Capital Structure

Covers various aspects of company shares including types of shares, shareholder rights, share issuance, and accounting treatment

7 Questions Published

Questions

Question 1 Multiple Choice (Single Answer)

A shareholder who can vote conditionally is a/an __________.

  1. equity shareholder
  2. preference shareholder
  3. member
  4. none of the above
Question 2 Multiple Choice (Single Answer)

Preference shares are those which carry the preferential as to ___________________.

  1. The payment of dividend at a fixed rate
  2. The return of capital on winding up of the company
  3. Both (A) & (B)
  4. Either (A) or (B)
Question 3 Multiple Choice (Single Answer)

Which of the following can be treated as type of shares?

  1. Equity
  2. Preference share
  3. Both (A) & (B)
  4. None of the above
Question 4 Multiple Choice (Single Answer)

Which of the following right may be given to preference shareholders if provided by Articles?

  1. To participate in the surplus profits remaining after payment of equity dividend
  2. To receive arrears of dividend at the time of winding up
  3. To receive premium on redemption of preference shares
  4. All of the above
Question 5 Multiple Choice (Single Answer)

Which of the following rights may be given to preference shareholder if provided by Articles?

  1. To participate in the surplus remaining after the equity shares are redeemed in winding up.
  2. To participate in the surplus profits remaining after payment of equity dividend.
  3. To receive arrears of dividend at the time of winding up.
  4. All of the above.
Question 6 Multiple Choice (Single Answer)

Preference share holders have a right to vote on every resolution of a company.

  1. True
  2. False
  3. Partly True
  4. Partly False
Question 7 Multiple Choice (Single Answer)

Preference shares carry preferential rights with respect to _____________.

  1. Payment of dividend
  2. Repayment of capital
  3. Both (A) & (B)
  4. Neither (A) nor (B)