Cost of Preference share capital

Financial Management

What does it mean?? Please explain with example.

Mahendar Peraboina

CA Inter

★ 700

21-Jun-22 13:43

703

Answers (1)

Best Answer

Cost of the preference shares that will be redeemed in future can be calculated by using the present value of the future dividend and principal. ie)By using Time value of money (learnt in CA foundation Maths)

Shankari C

CA Inter

★ 3K+

21-Jun-22 15:06