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Commerce · Q221

Legal Aspects of Business

Graduate and Post Graduate · Commerce · question 221

Q221

Section 100 of the Companies Act, 1956 allows a company to reduce its share capital under certain circumstances. which one of the following comes under the purview of this section:

A.
Redemption of Redeemable preference shares, if issue of such shares is authorised by the Articles
B.
Forfeiture of shares for non-payment of calls
C.
Paying off any paid-up capital which is in excess of the needs of the company
Answer
D.
Surrender of shares to the company by one or more shareholders

Answer: Option C

Solution

Answer: Option C
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