02-12-2009, 02:00 PM
<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica, san" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by awaisaftab</i>
<br />Who shall receeive the share in capital profits of company
a.Preference Shareholders
b.Creditors
c.Equity Shareholders
d.Directors
<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">
Capital Profits of a company are not available for distribution as dividend etc. to shareholders either Ordinary or Preferred Shareholders. I think the capital profits are not available to any of the above, This profit is available for company itself. For example Share premium is a capital profit, it can be utilized for wirring of preliminary expenses, commission/discounts on issuance of shares, and bonus shares.
I need your further guidance in this regard
<br />Who shall receeive the share in capital profits of company
a.Preference Shareholders
b.Creditors
c.Equity Shareholders
d.Directors
<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">
Capital Profits of a company are not available for distribution as dividend etc. to shareholders either Ordinary or Preferred Shareholders. I think the capital profits are not available to any of the above, This profit is available for company itself. For example Share premium is a capital profit, it can be utilized for wirring of preliminary expenses, commission/discounts on issuance of shares, and bonus shares.
I need your further guidance in this regard