Shareholder example sentences

This ratio is again very important from equity shareholders point of view as it gives an idea about the value of their holding and affects market price of the shares.Financial statements report the performance of the management to the shareholders.A shareholder is an owner of the company whereas a debenture holder is only a loan creditor.Capital employed is equal to the long-term debt + shareholders fund.Preference shareholders generally do not enjoy any voting rights.Shareholders enjoy voting rights whereas debentureholders do not normally enjoy any voting right.Calls play a vital role in making shares fully paid-up and for realising the full amount of shares from the shareholders.When allotment is made, it results in a valid contract between the company and the applicants who now became the shareholders of the company.Sometimes, shareholders fail to pay one or more instalments on shares allotted to them.A shareholder is an owner of the company whereas a debenture holder is only a loan creditor.Democratic control over management of the company is assured due to voting rights of equity shareholders.The issue of debentures is suitable in the situation when the sales and earnings are relatively stable; As debentures do not carry voting rights, financing through debentures does not dilute control of equity shareholders on management; Financing through debentures is less costly as compared to cost of preference or equity capital as the interest payment on debentures is tax deductible.The equity shareholders are entitled to share the distributable profits of the company after satisfying the dividend rights of the preference share holders.Dividend refers to that part of profits which is distributed among its shareholders.Preference shareholders have a preferential right of repayment over equity shareholders in the event of liquidation of a company; Preference capital does not create any sort of charge against the assets of a company.