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Question Practice

In a situation of over subscription, what must happen to the funds of rejected applications?

Attempt the question, check the explanation, and continue with similar questions to build confidence before exams.

MCQ_SA
CBSE
Class 12
Accountancy
Accountancy Part - II
Issue and Redemption of Debentures
Question Bank

In a situation of over subscri...

Single Answer MCQ
Q-00103432

In a situation of over subscription, what must happen to the funds of rejected applications?

1

They can be used for other business expenses.

2

They must be refunded to the applicants.

3

They increase the company's share capital.

4

They remain with the company indefinitely.

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Q1.

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Q3.

Describe the guidelines provided by SEBI for creating Debenture Redemption Reserve.

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Q4.

Can a company purchase its own debentures in the open market? Explain.

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