(1) Wh ich one of the following is correct ?

(1)

Wh

ich one of the following is correct

?

A. Only ordinary shares can be traded on the ASX

B. There are several types of preference shares but only one type of ordinary shares

C. Because preference shareholders are a specific class of shareholders their rights as to

variation or cancellation of shares are protected in the Corporations Act

D.

Both ordinary and preference shareholders have the same entitlements in relation to payment

of a dividend.

(2)

What circumstances might cause directors to cancel a dividend that has been declared?

Are there any time limitations?