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Options
- A
Holders have voting rights in all matters
-
Dividends are fixed and paid before equity shares
Correct answer
- C
Capital gains are the primary benefit
- D
They are treated as debt for accounting purposes
Why this is the answer
Preference shareholders receive fixed dividends, which are prioritized over equity dividends. They usually do not have voting rights (except in certain circumstances), and their benefit is mostly the fixed dividend rather than capital appreciation. They are treated as equity, not debt.
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