Multiple choice

Which of the following statements is correct about the issue of shares at discount?

  1. A resolution in regard to issue of shares at discount must be passed in Board Meeting.

  2. The resolution must specify the maximum rate of discount not more than 7.5%.

  3. The period of the issue of shares at discount should not be less than two years from the date of commencement of business.

  4. The shares must be issued within 2 months of Court's permission.
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

The shares must be issued within 2 months of Court's permission.

Keep practicing — related questions