High % preference shares

Hi,

I have been posed with a question which has me stumped.  I tried a Google and accountingWeb search but to no avail.

I know how preference shares work, both legally and in accounting treatment, but can you have a preference share which pays an annual dividend greater than its nominal value?  i.e. can you have a 1,000% or 10,000% or 1,000,000% preference share?

Thanks,

Thomas

Comments
There are 2 comments. Login or register to view them.

Interesting question!

Ben Smith |

Possible logic for a high coupon preference share

PeterBalhma |