Equity Shares and Capital Quiz

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8 Questions

What is the primary characteristic of equity shares?

Ownership of the company

What type of rights do equity shareholders have in the company?

Control through voting rights

How does equity share capital affect creditors?

Increases the confidence of creditors

During losses, what happens to the dividend for equity shareholders?

It is not paid

What is the primary function of equity share capital in raising long-term capital for a company?

Basis for loans

What rights do equity shareholders have in the company's activities?

Control

Who are the primary risk bearers in the case of losses for a company?

Equity shareholders

How does equity share capital impact the confidence of creditors?

Increases the confidence of the creditors

Test your knowledge about equity shares and capital with this quiz. Learn about the features and importance of equity shares for raising long term capital by a company.

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