Which of the following is not a characteristic of the majority of the equity issued by companies listed on the ASX?
A)The liability of shareholders is limited to the amount of capital they have invested.
B)They have an infinite life.
C)Shareholders cannot vote on resolutions put forward at annual general meetings.
D)They pay dividends,which are set annually.

Question

Quizplus · Accepted Answer

Shareholders have the right to vote on resolutions put forward at annual general meetings, so option C is not a characteristic of equity issued by companies listed on the ASX. Options A and B are correct characteristics, as the liability of shareholders is limited to their invested capital and equity has an infinite life. While not all companies pay dividends annually, paying dividends is a common characteristic of equity issued by companies listed on the ASX. Therefore, option D is also a correct characteristic.

Which of the Following Is Not a Characteristic of the Majority