Which of the following are the rights of equity shareholders?

A. Right to Income

B. Right to Claim Dividend

C. Right to Control

D. Right to Liquidation

E. Pre-emptive Rights

Choose the correct answer from the options given below:

Correct option is A

Equity shareholders possess several rights as owners of the company:
1. Right to Income (A): Entitlement to a share in the company’s profits.
2. Right to Claim Dividend (B): Shareholders can receive dividends declared by the company’s board.
3. Right to Control (C): Through voting rights, shareholders influence decisions and elect directors.
4. Right to Liquidation (D): During liquidation, they are entitled to residual assets after liabilities are settled.
5. Pre-emptive Rights (E): They can purchase additional shares in new issues to maintain their ownership proportion.