S.P 12TH (CHP1&2)

1. ................shares are issued free of cost to existing equity shareholders.

• Bonus

• Right

• Equity

2. The holder of ................. preference shares have right to convert their shares into equity

shares.

• Cumulative

• Convertible

• Redeemable

3. ............... are residual claimants against the income or assets of the company

• Equity shareholder

• Debentureholders

• Bondholder

4. Debenture holders are ................. of the company

• Creditors

• Owner

• Supplier

5. Retained earnings are ................. source of financing

• Internal

• External

• Additional

6. ............. is a proof of title to Shares

• Share certificate

• Register of members

• Letter of allotment

7. ............ means shares are offered to the public

• Right issue

• Public issue

• Private placement

8. Debenture certificate must be issued within .................. of allotment of debentures

• 3 months

• 6 months

• 60 days

9. Secured debentures must be redeemed within .................. from the date of its issue

• 10 days

• 10 years

• 15 years

10. A company which issues prospectus or invites more than 500 persons to buy its debenture

has to appoint .................. .

• Debentureholders

• Debenture trustee

• Register of companies