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If a Business Has Both Ordinary Shares and Preference Shares,which

Question 10

Multiple Choice

If a business has both Ordinary Shares and Preference Shares,which of the following statements are correct?
(i) Ordinary Shareholders have the right to vote at the AGM,but Preference Shareholders do not
(ii) Ordinary Shareholders will always get higher dividends
(iii) Preference Shareholders receive the same dividend year on year
(iv) Ordinary Shareholders are paid first upon liquidation of the company


A) All of them are true
B) (i) , (ii) and (iii) are true
C) (i) and (iii) are true
D) (ii) and (iv) are true

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