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प्रश्न
Justify the following statement.
To Issue Bonus Shares, a company has to fulfill certain provisions.
उत्तर
Justification:
The following provisions company has to fulfill to issue Bonus Shares:
- A company can issue Bonus Shares only out
of:
- Free reserves or
- Securities Premium Account or
- Capital Redemption Reserve Account - A company cannot issue Bonus Shares only out of reserves created by the Revaluation of Assets.
- The company also cannot issue Bonus Shares instead of paying a dividend.
- Once the announcement for Bonus Shares is made by the Board of Directors then it cannot be withdrawn.
- Bonus shares are fully paid up shares. Shareholders cannot give away their Bonus shares to another person.
- There is no minimum subscription to be collected.
Thus, it is rightly justified that, to issue bonus shares, a company has to fulfill certain provisions. - ESOS is offered by a company to its Permanent employees, Directors, and Officers.
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संबंधित प्रश्न
Multiple Choice Question:
The term 'redeemable' is used for
What preferential rights are enjoyed by preference shareholders? Explain.
Match the pairs.
Group 'A' |
Group 'B' |
a) Death of member |
1. Forfeiture of shares |
b) Voluntary return of shares to company by member |
2. Book Building Method |
c) Price of shares mentioned in prospectus |
3. Offered to existing employees |
d) ESPS |
4. Surrender of shares |
e) Regret Letter |
5. Transmission of shares |
|
6. Non-allotment of shares |
7. Offered to existing Equity shareholders |
|
8. Transfer of shares |
|
9. Fixed price issue method |
|
10. Allotment of shares |
Match the pairs.
Group 'A' |
Group 'B' |
a) Issued capital |
1) Non-payment of calls |
b) FPO |
2) Any issue after IPO |
c) Bonus shares |
3) Offered to existing employees |
d) Issued within two months of allotment of shares |
4) Capital offered to public to subscribe |
e) Forfeiture of shares |
5) Share certificate |
6) First time issue of shares |
|
7) Free shares issued to existing equity shareholders |
|
8) Maximum capital a company can raise |
|
9) Allotment Letter |
|
10) Operation of law |
Write a word or a term or a phrase which can substitute the following statement.
Capital collected by way of issue of Equity and Preference shares.
Write a word or a term or a phrase which can substitute the following statement.
Part of issued capital subscribed by investors.
Find the odd one.
Select the correct option from the bracket.
(First time offer of shares, Shares offered to public, Shares offered to existing Equity shareholders, Shares offered to existing employees, Transmission of shares)
Group 'A' |
Group "B" |
a) Public offer of shares |
1) ____________ |
b) ____________ |
2) Initial Public offer |
c) Rights Issue |
3) ____________ |
d) ____________ |
4) ESOS |
e) Operation of law |
5) ____________ |
Complete the sentence.
Shares issued free of cost to existing Equity shareholders is called as ______
Answer in one sentence.
With whom should the prospectus be filed before issuing it to the public?
Explain the following term/concept.
Bonus shares
Distinguish between the following:
Rights Shares and Bonus Shares
Justify the following statement.
Company has to fulfill certain provisions while making Right Issue.
Justify the following statement.
ESOS is offered by a company to its permanent employees, Directors and Officers
Match the pairs.
Group A | Group B |
a) Debenture holders | 1) Secured deposits |
b) IPO | 2) Owners |
c) Charge on assets | 3) Any issue after first-time public offer |
d) SEBI | 4) To protect the interest of investors in securities market |
e) Issued within two months of allotment of shares | 5) First-time public offer |
6) Allotment letter | |
7) To protect the interest of companies in securities market | |
8) Share certificate | |
9) Creditors | |
10) Unsecured deposits |