n NISM Certifications
X NISM Series X
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What is a contractual right of equity investors?

Practice question from NISM Series XB- Investment Adviser (Level 1) Mock Test 3 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. Residual claim on the business

    Correct answer

  2. B

    Right to annual dividends

  3. C

    Proportionate ownership

  4. D

    Direct ownership of properties

Why this is the answer

Equity shareholders have residual claims, meaning they are entitled to remaining assets after all liabilities are settled.

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