After reading this article you will learn about the Advantages and Disadvantages of Equity Share. Advantages of Equity Shares: 1. Equity shares do not create any obligation to pay a fixed rate of dividend. 2. Equity shares can be issued without creating any charge over the assets of the company. 3. It is a permanent source of capital and the [...]
After reading this article you will learn about the Advantages and Disadvantages of Ploughing Back of Profits. Advantages of Ploughing to the Company: Ploughing back of profits provides a number of advantages to the company, shareholders and the society at large. These merits are discussed as follows: (A) Advantages to the Company: 1. A cushion to Absorb the Shocks of [...]
After reading this article you will learn about the Advantages and Disadvantages of Debenture. Advantages of Debenture: Debentures offer a number of advantages both to the company as well as investors. These are discussed as below: (a) Advantages to the Company: The company has the following main advantages of using debentures and bonds as a source of finance: (i) Debentures [...]