Question

A company can not issue following kinds of shares _____________.

• A. Redeemable equity shares
• B. Irredeemable preference shares
• C. Equity shares with differential voting rights
• D. Redeemable preference shares

Answer 1

The correct option is B Irredeemable preference shares

An Irredeemable preference share is a kind of preference share which have no maturity period to be redeemed. Means the investors of such shares will not get their capital back. so as the companies Act, 2013 does not allow any company to issue irredeemable preference shares.