Give two merits of issuing equity shares.

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Solution

Merits of issuing equity shares are

(a) Equity shares are suitable for investors who are willing to assume risk for higher returns.

(b) Equity capital provides creditworthiness to the company and confidence to prospective loan providers.

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Give two merits of issuing equity shares.

Merits of issuing equity shares are (a) Equity shares are suitable for investors who are willing to assume risk for higher returns. (b) Equity capital provides creditworthiness to the company and confidence to prospective loan providers.

Merits of issuing equity shares are

(a) Equity shares are suitable for investors who are willing to assume risk for higher returns.

(b) Equity capital provides creditworthiness to the company and confidence to prospective loan providers.