CUET Preparation Today
| A company issued 10,000 shares to its employees at a rate lower than the face value. These shares are known as which of the following? |
Sweat Equity Equity Special Equity Preference shares |
| Sweat Equity |
| Sweat equity shares are issued by companies as a way to recognize, reward, and motivate their employees, directors, or other contributors for their valuable input and efforts that have enhanced the company's growth. These shares are granted at a reduced price or sometimes even without charge, acknowledging the significant contributions of individuals who have dedicated their time, skills, or intellectual property to the company's advancement. |
