Which of the Following Propositions Is Not True of Preference

question 59

Multiple Choice

Which of the following propositions is not true of preference shares?

• A)They entitle holders to a pro rata share of any surplus assets on winding up.
• B)They entitle holders to repayment on winding up in preference to ordinary shareholders.
• C)They entitle holders to dividends at a fixed rate if and when dividends are declared.
• D)They do not generally come with voting rights.

---

Definitions:

Reduction Strategy

Approaches businesses use to downsize, reduce costs, or streamline operations, often involving layoffs or selling off assets.

Implications

The possible effects or consequences that may result from a particular action or decision.

Market Wage Rates

The prevailing pay scale for work in a particular industry, occupation, or region, determined by the supply and demand for labor in the market.

Forecasting

The process of making predictions about future events or trends based on historical data and analysis.