• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
Free ACCA & CIMA online courses from OpenTuition

Free ACCA & CIMA online courses from OpenTuition

Free Notes, Lectures, Tests and Forums for ACCA and CIMA exams

  • ACCA
  • CIMA
  • FIA
  • OBU
  • Books
  • Forums
  • Ask AI
  • Search
  • Register
  • Login
  • ACCA Forums
  • Ask ACCA Tutor
  • CIMA Forums
  • Ask CIMA Tutor
  • FIA
  • OBU
  • Buy/Sell Books
  • All Forums
  • Latest Topics

June 2025 ACCA Exam Results

Comments & Instant poll >>

20% off ACCA & CIMA Books

OpenTuition recommends the new interactive BPP books for June 2025 exams.
Get your discount code >>

Ordinary share capital

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA LW Exams › Ordinary share capital

  • This topic has 7 replies, 2 voices, and was last updated 3 years ago by MikeLittle.
Viewing 8 posts - 1 through 8 (of 8 total)
  • Author
    Posts
  • April 30, 2022 at 4:15 pm #654672
    youshaali
    Participant
    • Topics: 51
    • Replies: 87
    • ☆☆

    Which of the following statements regarding ordinary share capital is correct?

    a) Dividends must be paid on ordinary share capital every financial year.

    b) On liquidation of the company, ordinary shares entitle the shareholder to have their capital repaid ahead of other creditors.

    c) Ordinary shares may or may not have voting rights attached.

    Hello sir!
    Please help me in this question. The answer is C but they are saying in option C that ordinary shares MAY NOT have voting rights attached. I have never study anywhere that ordinary shareholders may not have voting rights I always study they have.
    Please explain this please!!!

    April 30, 2022 at 7:08 pm #654675
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23327
    • ☆☆☆☆☆

    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?

    May 1, 2022 at 3:58 pm #654721
    youshaali
    Participant
    • Topics: 51
    • Replies: 87
    • ☆☆

    No sir I’m not misinterpreting, I copy the question as it is written in BPP kit. You can also check it in BPP kit, question number is 18.2 and if you allow I can E-mail you picture of question and answer.
    Trust me!!!

    May 1, 2022 at 7:15 pm #654735
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23327
    • ☆☆☆☆☆

    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?

    May 1, 2022 at 11:09 pm #654741
    youshaali
    Participant
    • Topics: 51
    • Replies: 87
    • ☆☆

    Thank you so much sir!!
    Now I understood your explanation.
    And yeah my English is not better enough but this language is use by BPP exam kit.

    May 2, 2022 at 7:38 am #654755
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23327
    • ☆☆☆☆☆

    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?

    May 12, 2022 at 3:31 pm #655476
    youshaali
    Participant
    • Topics: 51
    • Replies: 87
    • ☆☆

    Thank you tutor!!

    May 12, 2022 at 7:43 pm #655492
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23327
    • ☆☆☆☆☆

    You’re very welcome

  • Author
    Posts
Viewing 8 posts - 1 through 8 (of 8 total)
  • You must be logged in to reply to this topic.
Log In

Primary Sidebar

Donate
If you have benefited from our materials, please donate

ACCA News:

ACCA My Exam Performance for non-variant

Applied Skills exams is available NOW

ACCA Options:  “Read the Mind of the Marker” articles

Subscribe to ACCA’s Student Accountant Direct

ACCA CBE 2025 Exams

How was your exam, and what was the exam result?

BT CBE exam was.. | MA CBE exam was..
FA CBE exam was.. | LW CBE exam was..

Donate

If you have benefited from OpenTuition please donate.

PQ Magazine

Latest Comments

  • AdityaSairam on Overcapitalisation and Overtrading – ACCA Financial Management (FM)
  • verweijlisa on Financial performance – Example 2 – ACCA Financial Reporting (FR)
  • John Moffat on Linear Programming – Spare capacity and Shadow prices – ACCA Performance Management (PM)
  • John Moffat on The Statement of Financial Position and Income Statement (part d)
  • Salexy on Linear Programming – Spare capacity and Shadow prices – ACCA Performance Management (PM)

Copyright © 2025 · Support · Contact · Advertising · OpenLicense · About · Sitemap · Comments · Log in