Multiple choice

Which of the following is a charge which is created by a company on its present or future assets and is not attached to a particular asset?

  1. Exclusive charge

  2. Pari-passu charge

  3. Floating charge

  4. Fixed charge
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Floating charges, as the name suggests, hover above a shifting pool of assets. Thus, as per the given definition, the charge is floating charge.

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