passwella.
Menu

WAEC Financial Accounting 2024 Question 13

Question 13

Company Accounts

The class of shares which are available only to the promoters of a company are

  1. A.ordinary shares.
  2. B.cumulative preference shares.
  3. C.non-cumulative preference shares.
  4. D.deferred shares.
Show the answer and explanation

Answer: D (deferred shares.)

Explanation

Deferred (founders') shares are taken up by promoters and are paid only after other shareholders.