Match the LIST-I with LIST-IILIST-ILIST-IIA.Equity SharesI.Company wh…

The correct answer is Option (1) → A-II, B-IV, C-I, D-III

List-I has two classes of shares and two kinds of companies by number of members; each List-II entry is the mark of one of them.

(A) Equity Shares — this matches (II) Owner of company and enjoy voting rights. Equity shareholders are the real owners of the company: they bear the risk, share what is left after preference dividend and normally carry voting rights.

(B) Preference Shares — this matches (IV) Carry fixed dividend + Preferential rights. A preference share carries a preferential right to a fixed dividend and to the repayment of capital on winding up, before anything is paid to equity shareholders.

(C) Public Company — this matches (I) Company which is not a subsidiary of private company. Any company that does not fall within the private-company limits, and is not controlled as a subsidiary by a private company, counts as public.

(D) Private Company — this matches (III) Restricts the right to transfer its shares. A private company’s articles restrict the transfer of its shares and limit its members to 200, so its shares are not freely traded.