Multiple choice

Which of the following statements is incorrect?

  1. Winding up means closing a company and settling the accounts.

  2. Moratorium means a legal authority to a debtor to postpone payment of dues for a specified time.

  3. Amalgamation means breaking a company into two or more parts for the betterment of the company.

  4. None of the above
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Amalgamation is the combination of one or more companies into a new entity. Thus, option 3 is incorrect.

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