Corporate Accounting - Formation of Company

A company has ……………

• Separate Legal Entity

• no legal entity

• none of the above

According to Companies (Amendment) Act 2000, a company limited by share can

issue _________ kinds of shares.

• 1

• 2

• 3

The public issue must be kept open for atleast

• 3 days

• 5 days

• 7 days

Minimum number of members in case of public company is---------.

• 4

• 5

• 7

Maximum number of members in public limited company is ---------------.

• 10

• 20

• unlimited

Which one of the following is the registered capital of the company ?

• Paid-up capital

• Uncalled capital

• Authorised capital

The part of the authorised capital not offered for subscription to the public is known as _________

• Unissued capital

• called up capital

• reserve capital

Figure out the Order -

1. Issued Capital

2. Subscribed Capital

3. Authorised Capital

4. Paid Up Capital

5. Called Up Capital

• 2, 3, 5, 1, 4

• 2, 1, 3, 5, 4

• 3, 1, 2, 5, 4

• 3, 2, 1, 4, 5

The maximum calls that a company can make is

• one

• two

• three

Securities premium will appear in the _______side of the Balance Sheet.

• Asset

• Liability

• Assets & Liability