Question : Which shareholder returns their capital after some specified time?
Option 1: Redeemable preference shares
Option 2: Non – Redeemable preference shares
Option 3: Cumulative preference shares
Option 4: Participating preference shares
Correct Answer: Redeemable preference shares
Solution : Answer = Redeemable preference shares
Redeemable preference shares are those shares that allow the company to return the capital to shareholders after a specified period. Unlike non-redeemable preference shares, which do not have a predetermined maturity date, redeemable preference shares provide the company with the option to buy back the shares at a later date. In the case of redeemable preference shares, these shares are redeemed after a stipulated period.
Question : Which shareholder has the right to receive the arrears of dividend from future profit?
Question : Which shareholders are returned their capital after some time?
Question : A preference share which does not carry the right of sharing in surplus profit is called _________.
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