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Why do most people prefer to invest in debentures rather than in equity shares?
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Under what conditions may the directors of acompany prefer to issue ordinary shares rather than debentures?
ordinary shares are equity whereas debentures are debt - debt is always payable, whereas, equity holders do not always necessarily demand a dividend payment immediately. it would depend on what the company wanted to use the funds for. if the funds were used to fund a project where the returns were not expected for a few years, a company may wish to issue shares rather than debentures as the debentures would have to be paid regardless of when the returns came.
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Some people do not like liquorice and prefer other kinds of sweets.Some people do not like liquorice and prefer other kinds of sweets.Some people do not like liquorice and prefer other kinds of sweets.Some people do not like liquorice and prefer other kinds of sweets.Some people do not like liquorice and prefer other kinds of sweets.Some people do not like liquorice and prefer other kinds of sweets.Some people do not like liquorice and prefer other kinds of sweets.Some people do not like liquorice and prefer other kinds of sweets.Some people do not like liquorice and prefer other kinds of sweets.Some people do not like liquorice and prefer other kinds of sweets.Some people do not like liquorice and prefer other kinds of sweets.
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