Prelium.docx 1
Prelium.docx 1
Prelium.docx 1
Q1.Select the correct answer from the options and rewrite the sentence 5m
Cautious Investor
Voting Rights
1. Owned Capital
2. Debenture Certificate
3. Conversion of debenture
4. Dematerialization
5. Interim dividend
6. Financial Dividend
(1) Mr Rohit, an individual investor, invests his own funds in the securities. He depends on investment income and
does not want to take any risk. He is interested in definite rate of income and safety of principal.
a) Name the type of security that Mr. Rohit will opt for.
b) What does he receive as return on his investment?
c) The return on his investment which he receives is fixed or fluctuating.
2) TRI Ltd. Company has recently incorporated as public company and want to raise capital by selling equity shares
to of Directors are public. The Board of considering various options for this . Advise the board on following matter
(3) The Board of Directors of STAR Company Ltd. which is a listed company Note: (1) All question recommends a
dividend of 15/- per share to be paid in cash.
a) Is it justified to pay the dividend firstly to its preference shareholder and then after to equity shareholder?
b) Is the AGM required to approve the same?
c) Can company pay dividend in cash