Business Studies, asked by harishmanuraj, 7 months ago

“Preference shares carry preferential right over the equity shares” Elaborate.

Answers

Answered by kanishkauniyal36

Answer:

Preference shares come with preferential rights when it comes to receiving dividend or repaying capital. Shareholders receive dividends after all liabilities have been paid off. Preference shareholders are given more priority over equity shareholders when it comes to the dividend payment.

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