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Preference shares will carry preferential right with respect to-
Payment of dividend before interest to debenture holders
Payment of dividend before payment to equity Share holders In the form of dividend
Repayment of capital during the event of winding up
Both b and c
Please note that preference shareholders have preferential right over the Equity share holders only they will not affect any others Rights.
Preference shares are those which carry preferential right in respect of both dividend and repayment of capital. Preference shares, more commonly referred to as preferred stock, are shares of a company's stock with dividends that are paid out to shareholders before common stock dividends are issued.
By: Srishti Gupta ProfileResourcesReport error
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