Who among the following are being paid dividend at a fixed rate by a company?

Preference share holders

The correct answer is option 3- Preference shareholders.

* Debenture holders are paid interest not dividend

* Equity shareholders are paid dividend when profits are left with the company after paying preference shareholders.

* Preference shareholders are paid dividend at a fixed rate. The percentage of dividend is fixed i.e. the holders get the fixed dividend before any dividend is paid to other classes of shareholders. It is suitable for investors who want security and safety of returns on money invested as preference shares carry a fixed rate of dividends.

* Creditors are not paid any dividend. They are the liability of the company.