The maximum amount beyond which a company is not allowed to raise funds by issue of shares is _____?
Senior Auditor Past Papers / Auditor Test MCQs — Multiple-choice practice
زیادہ سے زیادہ رقم جس سے آگے کسی کمپنی کو حصص کے اجراء کے ذریعہ فنڈ جمع کرنے کی اجازت نہیں ہے؟
- A. Nominal capital
- B. Reserve capital
- C. Issue capital
- D. None of these
Correct answer
Nominal capital
Explanation
Explanation Nominal capital (also called authorized capital ) is the maximum amount a company is legally permitted to raise by issuing shares. It is specified in the company’s memorandum of association and cannot be exceeded without regulatory approval.
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