Multiple choice

On which of the following purposes can securities premium amount be used by a company?

  1. To issue fully paid bonus shares to the members

  2. To write off preliminary expenses of the company

  3. To provide the premium payable on redemption of any preference share or debenture of the company

  4. To purchase its own share

  5. All the above
Reveal answer Fill a bubble to check yourself
E Correct answer
Explanation

All the above purposes are correct hence, this is the correct answer.

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