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Commerce · Q1309

Accounting

Graduate and Post Graduate · Commerce · question 1309

Q1309

According to Section 80 of the Companies Act, 1956, a company cannot redeem its Preference shares out of:

A.
Revenue Profits
B.
Net proceeds of fresh issue
C.
Partly out of Revenue Profit and partly out of net proceeds of fresh issue
D.
Out of sale proceeds of fixed assets
Answer

Answer: Option D

Solution

Answer: Option D
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