Question

equity capital is a permanent source of capital. explain

Answer 1

Explanation:

Equity share capital is known as a permanent source of finance as there is no fixed commitment to return the money during the lifetime of company. It is to be repaid only at the time of liquidation of a company.

Answer 2

Answer:

Equity shares are the permanent source of capital for a company. There is no requirement of creating a charge over the assets of the company when equity shares are issued. The liability of the equity shares is not required to be paid.

Hope it helps

Pls mark as brainliest