0
A restricted placement
Wiki User
∙ 13y ago
Add your answer:
Earn +20 pts
How do you buy stock in the company?
Stock (equity) can be bought during the original first public issue by a company and by the secondary market (stock market)
Is cost of equity capital less than cost of debt capital?
Cost of equity > Cost of debt Reason: When u issue debt, for example in the form of bonds, u have to pay bondholders interest. This interest is tax deductible. On the other hand, when u issue equity, i.e. stocks, u pay dividends. This dividend is taxed as corporate income. Because of the ability of debt to escape taxation vis-a-vis equity, cost of debt is lower than cost of equity. In fact, this is called a debt tax shield.
What Advantages does issue of debentures over equity shares?
Cost is the major advantage. Debentures are to be serviced for the contracted period of time, while equity servicing is perennial.
Can public company issue debentures?
Yes
Can companies make public issue without listing in stock exchange?
No. Every public issue of shares has to be followed by listing in an organized stock exchange.
What will increase equity?
Equity share capital can be increased by a bonus issue, a rights issue, Follow on public offering.. Regards Sumit..
An equity issue sold to the firms existing stockholders is called?
A general cash offer
How do you buy stock in the company?
Stock (equity) can be bought during the original first public issue by a company and by the secondary market (stock market)
What is the meaning of preemption?
The right to purchase something before others, especially the right to purchase public land that is granted to one who has settled on that land. eg. in the case of company's the existing equity shareholders has right to subscribe the shares before going to raise the capital via FPO( further public issue) called the right of subvention . The right to purchase something before others, especially the right to purchase public land that is granted to one who has settled on that land. eg. in the case of company's the existing equity shareholders has right to subscribe the shares before going to raise the capital via FPO( further public issue) called the right of subvention . The right to purchase something before others, especially the right to purchase public land that is granted to one who has settled on that land. eg. in the case of company's the existing equity shareholders has right to subscribe the shares before going to raise the capital via FPO( further public issue) called the right of subvention .
What is the advantages of right issue?
raise equity
The viewpoint of a group of individuals on an issue or problem is called?
Public Relations
The media decide what issue they will inform the public about what is this called?
Gate Keeping
When a social crisis becomes particularly bad it is called?
a public issue
Can you issue preference share to equity shareholders?
yes it can be issued
Is cost of equity capital less than cost of debt capital?
Cost of equity > Cost of debt Reason: When u issue debt, for example in the form of bonds, u have to pay bondholders interest. This interest is tax deductible. On the other hand, when u issue equity, i.e. stocks, u pay dividends. This dividend is taxed as corporate income. Because of the ability of debt to escape taxation vis-a-vis equity, cost of debt is lower than cost of equity. In fact, this is called a debt tax shield.
A choice that government makes in response to some issue on its agenda is called?
its a public policy
In primary share market issue of new stock is called as?
ipo initial public offer
