Note: preference shares and general reserves will not be examined
AQA will never test you on preference shares or general reserves. You can ignore both topics entirely for this exam.
Real World
Some FTSE 100 companies like GlaxoSmithKline issue preference shares to attract investors who want guaranteed dividends, but AQA will not test this — your exam only covers ordinary share capital and retained earnings.
Exam Focus
If preference shares or general reserves appear in exam data, ignore them entirely — including them will cost marks.
Essay Framework
Use PEEL to structure every paragraph. Tap each step for guidance and an example.
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