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All of the following is true about ordinary shares except point In case of liquidation, the ordinary shareholders have a priority claims over company's assets
All of the following is true about ordinary shares except point In case of liquidation, the ordinary shareholders have a priority claims over company's assets and earnings. Ordinary shareholders have voice in the future of a company. The shares cannot be converted into debentures. Ordinary shareholders may get higher dividend than preference shareholders. lead to an increase in assets and liabilities of company that point are shown in the Statement of Financial Position. * Operating Lease Finance Lease Preference shares Bonus issues Which one of the following is true concerning share warrants?* 1 point Warrant holder is a stockholder. Warrant holders have the right to receive a dividend on the warrants held. The put warrant holders has the right to sell back shares to issuer at a predetermined price on or before a particular date. The warrant usually priced higher than the shares to make attractive to big investor. 1 point A business can raise fund by selling its outstanding debt obligations to a third party at a discounted rate. This is referring to Loan capital Debentures Trade credit Debt factoring 1 point As at 31 December 2020. FGH Berhad gave its existing shareholders the right to subscribe to newly issued shares in proportion of 1:5 to their existing holdings. Which of the following is not true about the effect of the issue? The control of management is retained. Existing shareholder's equity stakes will be not diluted if they do not take up their rights The company raise capital without increasing the debt. None of the above
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