Which of the following statements regarding the differences between loan capital and share capital is correct?
A、Unlike loan capital, share capital does not have to be repaid
B、Loan capital has voting rights attached but share capital does not
C、Share capital offers the holder more security than loan capital
D、Share capital is transferable but loan capital is not
A、Unlike loan capital, share capital does not have to be repaid
B、Loan capital has voting rights attached but share capital does not
C、Share capital offers the holder more security than loan capital
D、Share capital is transferable but loan capital is not
【参考答案及解析】
Share capital does not have to be repaid, unlike a loan which must be repaid at some point. Share capital has voting rights but loan capital does not. Loan capital offers the holder more security than share capital because it has a higher priority to be repaid and may be secured on assets by a charge. Both loan and share capital are transferrable.
Share capital does not have to be repaid, unlike a loan which must be repaid at some point. Share capital has voting rights but loan capital does not. Loan capital offers the holder more security than share capital because it has a higher priority to be repaid and may be secured on assets by a charge. Both loan and share capital are transferrable.