Share Capital and Types of Shares — SPCC STD 11 Commerce — Question
Gujarat BoardEnglish MediumSTD 11 CommerceSPCCShare Capital and Types of Shares2 Marks
Question
Which problems can be avoided by dematrialisation of shares?
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Answer
Share certificate is a primary evidence of ownership for shareholder. If the original share certificate is lost, destroyed or torn, to get the duplicate share certificate is a very long and costly procedure. Sometimes the signature does not match or the possibility of forge signature at the time of transfer of shares. All these problems can be avoided by dematrialisation of shares.
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