Multiple choice

Directions: Choose the correct option for the given question.

When the 'Articles of Association' does not authorise the change in the capital then in order to alter the capital of a company

  1. table 'A' should be adopted

  2. articles should be altered

  3. permission of the registrar of companies should be obtained

  4. permission of the Company Law Board should be obtained
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

If the Articles of Association do not contain the power to alter capital, the company must first amend its Articles of Association to include such authority before it can proceed with the capital alteration.

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