Question : Which of the following statements is false?
Option 1: A company can raise funds beyond its Authorised Capital.
Option 2: Dividends declared should be classified in the Balance Sheet as a current liability.
Option 3: Dividends are usually paid as percentage of Paid up Capital.
Option 4: As per the Companies Act, only Preference Shares which are redeemable within 20 years can be issued.
Correct Answer: A company can raise funds beyond its Authorised Capital.
Solution : As per the Companies Act, 2013, a company can only raise funds upto its authorised capital.
Hence the correct answer is option 1.
Question : As per Section 52 of Companies Act 2013, Securities Premium Reserve cannot be utilised for ___________.
Question : The Foreign Exchange Regulation Act was replaced by the ______ in India.
Question : The amount of Securities Premium Reserve Account is utilised for the purposes specified in Section 52(2) of the Companies Act, 2013. The purposes for which Securities Premium Reserve can be used are:
Question : Willow Ltd. was registered with an authorised capital of Rs. 10,00,000 divided into 1,00,000 equity shares of Rs. 10 each. The company offered 80,000 shares for subscription to the public, out of which 75,000 shares were subscribed. All amounts were received except
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