Question: 1 ) Discuss the differences between common and preferred shares. ( 1 0 marks ) 2) Why would a company issue preferred shares

)

Discuss the differences between common and preferred shares.

(10

marks

)

2)

Why would a company issue preferred shares instead of common shares?

(5

marks

)

3)

Why would an outside investor rather buy preferred shares instead of common

shares or common shares instead of preferred shares?

(5

marks

)

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1 Differences between common and preferred shares Common Shares Common shares represent ownership in a company and give shareholders voting rights in corporate decisions such as electing the board of ... View full answer

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