Question

If an investor wants steady income, he/she will prefer _______.

a) Equity shares b) Trade credit

c) Preference shares d) All of these





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Answer 1

Answer:

if an investor wants steady income, he/she will prefer equity shares

Answer 2

If an investor wants steady income, he/she will prefer _______.

a) Equity shares b) Trade credit

c) Preference shares d) All of these

The correct answer is :

c) Preference shares

Explanation :

An investor who wants stable income would prefer preference shares. Preference shares are defined as those shares which are given priority over equity shares in terms of payment of dividends. Preference shareholders have the first place in terms of receiving payment. Preference shares are a form of equity shares, which rank first in terms of dividend and payout.

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