answersLogoWhite

0

Characteristics of ordinary shares

Updated: 9/14/2023
User Avatar

Wiki User

9y ago

Best Answer

There are several characteristics of ordinary shares. Some of them include limited liability, liquidation rights, voting and pre-emptive rights among others.

User Avatar

Wiki User

9y ago
This answer is:
User Avatar

Add your answer:

Earn +20 pts
Q: Characteristics of ordinary shares
Write your answer...
Submit
Still have questions?
magnify glass
imp
Related questions

What is preference share?

Preference shares are shares whose dividends are paid out first before ordinary shares dividends. They so called (preference shares) because they have 'preference' over ordinary shares for payment of dividends.


What are the advantages and disadvantages of direct investment in ordinary shares?

Direct investment in ordinary share is less complicated. However, the disadvantage is that the investor is not protected from risk if they invest directly in ordinary shares.


What are the characteristics of preference shares and ordinary shares?

Preferred shares in a company represent a larger interest in the company than common shares do. Preferred shareholders are paid dividends first, regularly and typically at a higher rate than common shareholders, and if the company declares bankruptcy they have priority over common shareholders who are last in line to get paid.


What are the Two types of shares?

There are different types of shares available. Some examples include ordinary shares, preferred shares, cumulative preference shares, and redeemable shares.


Can ordinary shares divide into two groups?

it depends


What is redeemable shares?

These are special shares that you get with ordinary shares from some companies, which they buy back off you at a price instead of paying a dividend.


Is ordinary shares a current or non current asset?

Neither, shares are listed under owners equity.


What are the difference between preference share and ordinary shares?

Preference shares have preference over ordinary shares with respect to dividend payments and in the event of liquidation i.e. payments are made to preference share holders before any payments are made to holders of ordinary shares. Preference shares usually carry a fixed dividend amount, are usually callable at the option of the issuing company and generally have no voting rights. They may also have an option for conversion to ordinary shares. Detailed answer here: http://financenmoney.in/types-of-share/


What are Ordinary shares?

Any shares that are not preferred shares and do not have any predetermined dividend amounts. An ordinary share represents equity ownership in a company and entitles the owner to a vote in matters put before shareholders in proportion to their percentage ownership in the company.


What are unissued ordinary shares?

Ordinary shares are also known as equity shares and they are the most common form of share in the UK. An ordinary share gives the right to its owner to share in the profits of the company (dividends) and to vote at general meetings of the company.


Why Ordinary shares as a source of finance?

Well........... Unlike other forms of shares the actual dividends that are paid on ordinary shares will rely on the size of the profit actually made by the company and then the share price can go up or down, and depending on this price depends on how much shareholder gets when he/she sells their shares.


An area that shares common characteristics?

russia