Business Studies

Equity capital serves as ____________ capital as it is to be repaid only at the time of liquidation of a company.


ANSWER

Permanent


SOLUTION
Equity share capital is the prerequisite before the creation of a company. 
It is a source of finances raised for the formation of the company and it also represents the ownership of the company.
Equity capital serves as a permanent capital as it is to be repaid only at the time of liquidation.
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