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Q: What are the conditions that must satisfied to ensure that the forefeitures of shares is valid?
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What is the explanation for the various types of shares?

Types of shares A company may have many different types of shares that come with different conditions and rights. There are four main types of shares: Ordinary shares are standard shares with no special rights or restrictions. They have the potential to give the highest financial gains, but also have the highest risk. Ordinary shareholders are the last to be paid if the company is wound up. Preference shares typically carry a right that gives the holder preferential treatment when annual dividends are distributed to shareholders. Shares in this category receive a fixed dividend, which means that a shareholder would not benefit from an increase in the business' profits. However, usually they have rights to their dividend ahead of ordinary shareholders if the business is in trouble. Also, where a business is wound up, they are likely to be repaid the par or nominal value of shares ahead of ordinary shareholders. Cumulative preference shares give holders the right that, if a dividend cannot be paid one year, it will be carried forward to successive years. Dividends on cumulative preference shares must be paid, despite the earning levels of the business, provided the company has distributable profits. Redeemable shares come with an agreement that the company can buy them back at a future date - this can be at a fixed date or at the choice of the business. A company cannot issue only redeemable shares.


What shares the same phylum as the hawk?

A mold


What things connect the three stories that Savage shares?

I don’t know


Who discovered it and hated it Who is it and what did he discover?

The person Shares a name with the current US President. George Walker Bush


Deffnation of equity?

The definition of equity is the quality of being fair and impartial. There is also the value of the shares issued by a company, if you are looking on the business side.

Related questions

What is Share Allotment?

The process of allocating shares between shareholders usually pro rata or according to some prior agreement. The allotment may have conditions, which must be satisfied before the shares are issued, eg payment for them. This precedes the actual issue of shares.


Discount on issue of shares and debentures?

Issue of shares at discountA company may issue shares at a discount i.e at a value below its par value. The following conditions must be satisfied in connection with the issue of shares at a discount :-The shares must be of a class already issuedIssue of the shares at discount must be authorised by resolution passed in the general meeting of company and sanctioned by the company law board.The resolution must also specify the maximum rate of discount at which the shares are to be issuedNot less than one year has elapsed from the date on which the company was entitled to commence the business.The shares to be issued at discount must issued within 2 months after the date on which issue is sanctioned by the company law board or within extended as may be allowed by the Company Law Board.The discount must not exceed 10 percent unless the Company Law Board is of the opinion that the higher percentage of discount may be allowed in special circumstances of case.


Can a company issue free shares?

Yes it is possible and is called a bonus issue, the company must still fund the issue of the shares out of distributable reserves. Check for treatment on a bonus issue to ensure you use the correct treatment!


Stock market classification of equity shares?

Classification of equity shares in the stock marketIn the stock market, equity shares are classified into the following categories:1. Bluechip shares. These are shares of large, well-established and financially sound companies, e.g. Reliance, Larson & Toubro, Asian paints, and Infosys, which have an impressive record of earnings and dividend payments. Such shares yield a low-to-moderate current yield and moderate-to-high capital gains yield. Moreover, the price fluctuations also will be moderate.2. Growth shares. These are shares of those companies which have a secured position in the market and enjoy an above average rate of growth and profitability. Growth shares generally provide a very low current yield and a very high capital gain yield. Very often growth shares are also bluechip shares.3. Income share. The shares of companies that have fairly stable operations with relatively limited growth opportunities are income shares. Such shares provide a very high current yield and a very low capital gains yield. Such shares are fairly stable in the market. E.g. shares of power supply companies and tea companies.4. Defensive shares. These are shares of companies that are relatively unaffected by the ups and downs in general business conditions. Generally, such shares provide moderate current yield and moderate capital gain yield. The price of these shares is relatively stable, e.g. shares of food and beverage companies.5. Speculative shares. Those shares which tend to fluctuate mainly because of speculative trading in them are speculative shares.


Difference between demat shares physical shares?

demate shares are those shares which are kept in electronic form where as physical shares are those shares which are kept in the traditional paper form....


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.


What are the types of shares which are issued as bonus shares?

types of bonus shares


Can equity shares be converted in to preference shares?

i want 2 convert the equity shares of my cmpany into preference shares


What is Difference between issued shares and outstanding shares - 41k?

Issued shares(I) are shares of stock that have been sold to investors. It includes both outstanding shares(O) and Treasury shares(T). Thus, I = O+T Outstanding shares(O) are shares of stock currently owned by the shareholders.


What is buy back of shares?

Buy back of shares refers to the repurchase of shares by a firm as a means to reduce shares on the market.


Advantages of ordinary share?

If I underatand the question, there are 2 kinds of shares of a corporation: Prefferred and Common (ordinary) shares. Common shares can move up and down because they relate to the current and future consesus of investors. Preferred shares are less volatile because their dividends are promised and no one is going to bid extravagaqntly fo0r a limited divieden.Common shres adjust (or can adjust) dividends to current conditions.


Is there a limit on how many shares of a stock you can buy?

Yes & No. Usually during IPOs, a cap on the max number of shares that can be bought by an individual is placed to ensure that, many people participate in an IPO. Otherwise, there is no cap on the number of stocks of a company you can buy. In the secondary market you can buy even all the stocks of a company.