Question

 Equity Shares and Preference Shares

06 Aug 2026
Answer :
Word Count : 547
Equity shares and preference shares are two important types of share capital through which a company raises funds from investors. Both represent ownership interests in a company, but they differ significantly in terms of dividend, voting rights, risk, and repayment of capital. The choice between them depends upon the financial requirements of the company and the expectations of investors. Equity shares are ordinary shares of a company and represent the real ownership of the business. Equity shareholders provide permanent capital to the company and are generally entitled to voting rights. They can participate in important decisions of the company through voting at general meetings. The dividend paid to equity _________ ____ _____ ________ _____.
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