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Question
Give one word / Term / phrase for the following statement :
A preference share having right of conversion into equity.
Solution
Convertible
Explanation: Preference shares with the provision of being converted into equity shares after a defined span of time are known as convertible preference shares.
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Securities premium can also be utilized for three other purposes besides
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Answer in one Sentence only :
What is authorised capital?
Answer in one Sentence only :
State the meaning of issued capital.
Answer in one Sentence only :
Write the meaning of equity share capital.
Answer in one Sentence only :
Which preference shares are called cumulative preference shares?
Give one word / Term / phrase for the following statement :
The capital which is not disclosed in the balance sheet.
Give one word / Term / phrase for the following statement :
Preference share on which arrears of dividend accumulate.
Give one word / Term / phrase for the following statement :
The maximum amount beyond which a company is not allowed to raise funds.
Give one word / Term / phrase for the following statement :
Shares having first right on surplus assets at the time of liquidation.
Select the most appropriate answer from the alternatives given below and rewrite the sentence :
Paid up, value of all shares allotted is called ______________ capital.
Select the most appropriate answer from the alternatives given below and rewrite the sentence :
The document inviting offers from public to subscribe its share is called _____________.
What is the authorised capital?
Assertion (A): Authorised share capital is not issued to the public at once.
Reason (R): Companies do not exhaust their authorised capital in the beginning but only a part of the authorised capital is issued for public subscription. Rest of the authorised capital is raised by the company in a phased manner depending on the need for funds.
A company has:
Under the provisions of the Companies Act, company can issue:
Assertion (A): The equity shareholders are paid dividend on the shares held by them.
Reason (R): As the equity shareholders are the owners and dividend form their earning.
