Which of the following statements correctly expresses the difference between preference shares and e...........

Economic Affairs Financial Markets

Which of the following statements correctly expresses the difference between preference shares and equity shares?

Equity shareholders have no voting rights but preference shareholders have voting rights

Preference shareholders have no voting rights but equity shareholders have voting rights

Preference shareholders have no right to profit whereas equity shareholders have a right to profit

Preference shareholders get exemption from taxes while equity shareholders do not get any exemption.

only 2nd statement is correct

Equity Shareholders are the members of the company and have voting rights in the company. They are paid equity dividend.,Preference shareholders have no voting rights
Equity shares represent the ownership of a company. Preference shareholders have a preferential right or claim over the company's profits and assets. Equity shareholders receive dividends only after the preference shareholders receive their dividends. Preference shareholders have the priority to receive dividends.
Preference shareholders and equity shareholders do not get any exemption