Which of the following does not form part of shareholders fund?
-
A.
ordinary shares -
B.
shares premium -
C.
profit -
D.
debenture
Correct Answer: Option D
Explanation
Debentures are a long-term security yielding a fixed rate of interest, issued by a company and secured against assets. It is a debt security issued by a company by a company to raise money. The holders are paid the amount lended with interest. They are not a source of equity financing