Question

Bakshi limited is a manufacturing company.Company has issued equity and preference

shares to meets its requirement. Other sources of finance have not been considered at all.this

has resulted in payment of large amount of taxes to government as dividend on shares is not

deducted from the income of the company for the purpose of tax calculation.

a)Mention the source of finance which can give benefit of tax savings

b)What are the investor's of source of finance identified above called?

c)Mention one demerit of this source of finance​

Answer 1

Answer:

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