Ordinary share capital

Hi Yousha

I think that you may possibly be misinterpreting a word within the question and within the answer

These sentences say that ‘Ordinary shares … may not have voting rights’ and I believe that you have possibly misinterpreted this as ‘Ordinary shares are NOT ALLOWED to have voting rights’

It’s an ideosyncracyof the English language that the use of the word ‘may’ and the words ‘may not’ can be interpreted as being either allowing or forbidding.

Did your father never say to you ‘You may not do something-or-other’?

In the question above, the interpretation should be that ‘ordinary shares do sometimes carry voting rights and sometimes they do not’

Is that better?

Hi Yousha

Now you really have misinterpreted … me

I was not for one minute suggesting that you had mis-read nor mis-typed your post

My comment was about the strangeness of the English language

I’m learning a foreign language (started at the start of lockdown) and one of the sentences that I have to translate into English is …

‘I’m not leaving because of you’

Now that could mean that, because of your presence, I intend to stay here’ or it could mean that I’m leaving
, but only because that’s what I want to do and it’s not an action that you have caused’

Now, to get back to your post, the question suggests that ordinary share capital may not have voting rights. That COULD be interpreted as ‘Ordinary share capital is not allowed to have voting rights’ or … it COULD mean that ‘it is possible for there to be ordinary shares that don’t have voting rights’

Clearly, as you know, it is typically the case that ordinary shares DO have voting rights … but it IS possible for there to be ordinary shares that DO NOT have voting rights

To use the word ‘may’ in my answer …

… it may be that there are ordinary shares in issue that do have voting rights but …

… it is equally possible that there may be ordinary shares in issue that do not have voting rights

As a matter of practicalities, it would be most unusual for there to be ordinary shares in issue that do not have voting rights …. but it is possible

Is that better for you?

Without wishing to worry you, the ACCA examiners do sometimes (thankfully rarely) use expressions that are not easily understood by non-natural English speaking students

It seems to me that the incidence of ‘difficult’ English words is decreasing so it shouldn’t be a major problem for most

Besides, from what little I’ve read of yours, your English is comfortably strong enough to approach these exams with confidence

OK?

You’re very welcome