Seminar on Corporate Accounting and Cost Accounting

Redemption of shares means ---------

• Issue of new shares to existing Shareholders

• Buy back of shares by company

• Payment of dividend to shareholders

• Merger with another company

Debentures provide ------- rate of interest.

• Fixed interest

• Floating interest

In the absence of contract in acquisition, which assets will be taken by purchasing company?

• Cash & Bank balance

• Fictitious Assets

• Miscellaneous expense

Two or more existing company liquidated and a new company formed is known as

• Amalgamation

• Absorption

• Acquisition

• External reconstruction

In case of amalgamation in the nature of purchase, all assets and liabilities of selling company may NOT be taken over.

• True

• False

The process of reduction of share capital requires the approval of

• Companies Act, 2013

• National Company Law Tribunal (NCLT)

• Suppliers

• Creditors

Is it necessary to pass a special resolution for the purpose of reduction of share capital?

• Yes

• No

Investment in the shares of Transferee Company should be transferred to realization a/c

• True

• False

Need for valuation of goodwill.

• On determining real asset value

• On admission/retirement of partners

• On calculating tax liability

• All the above

Compulsory winding up requires the approval of ___

• Registrar of Company

• Tribunal

• Ministry of Corporate affairs

• All the above