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Mayank has surplus money of 25 …

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Mayank has surplus money of 25 lakhs which he wants to invest either in equity shares or preference shares . Two pharmaceutical companies with almost same creditworthiness are launching their public issues. One has issued equity shares and the other has issued preference shares.He consulted his friend Manish who is a portfolio manager who suggested him to invest in equity shares. State the reasons which Manish would have given to Mayank to invest in equity shares.
  • 1 answers

Harsh Agrawal 2 years, 10 months ago

1. Equity shareholders are real owners of the company and have decision making power. 2. Equity shareholders have part in surplus of the company
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