Multiple choice

Directions: Choose the correct option for the given question and consider the following statements.

The vouching of remuneration to directors involve the checking of

  1. Special resolution.
  2. Statement of accounts.
  3. Approval note of the Central Government.
  4. Minutes Book. Which of the statements given above are correct?

  1. (1) and (2) only

  2. (2) and (3) only

  3. (1), (2) and (4)

  4. (1), (3) and (4)
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Vouching director remuneration requires verifying: special resolution approving payment (Article of Association compliance), statement of accounts showing remuneration details, and minutes book recording board decision. Central Government approval is needed only in specific cases (excess remuneration under Section 197), not for all remuneration.

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