To issue shares on Discount mean
A. Issue on face value of shares  
B. Issue on more than face value of shares  
C. Issue on less than face value of shares  
D. Initial public offer

1 Answer

Answer :

C. Issue on less than face value of shares

Related questions

Description : To issue shares on Par mean A. Issue on face value of shares B. Issue on more than face value of shares C. Issue on less than face value of shares D. Initial public offer

Last Answer : A. Issue on face value of shares

Description : To issue shares on premium mean A. Issue on face value of shares B. Issue on more than face value of shares C. Issue on less than face value of shares D. Initial public offer

Last Answer : B. Issue on more than face value of shares

Description : The minimum share Application money is -----------. A. 5% of the face value of shares B. 10% of the issue price of shares C. Re. 1 per share D. 15% of the face value of shares

Last Answer : A. 5% of the face value of shares

Description : The shares received from the new company is recorded at (A) Face value (B) Market value (C) Average price (D) None of these

Last Answer : (B) Market value

Description : Which of the following statement is correct? (A)The amount of Goodwill or Capital Reserve is found out in the books of purchasing company only (B)The amount of Goodwill or ... face value of shares of purchasing company will be taken in to account while calculating purchase consideration.

Last Answer : (A)The amount of Goodwill or Capital Reserve is found out in the books of purchasing company only

Description : Shares received from the new company are recorded at - (A)Face value (B)Average price (C)Market value (D)None of the above

Last Answer : (C)Market value

Description : Which of the following statements is not correct? A. For the purpose of Funds Flow Statement, the term 'fund ' generally refers to net working capital B. Funds flow is a wider concept than ... business D. The capitalisation of reserves by the issue of bonus shares also involves flow of funds

Last Answer : D. The capitalisation of reserves by the issue of bonus shares also involves flow of funds

Description : Premium received on issue of shares cannot be utilised for ---------. A. for the issue of bonus shares B. for writing of preliminary expenses C. for providing premium payable on redemption D. for distribution of dividend

Last Answer : D. for distribution of dividend

Description : Premium on issue of shares can be used for -----------. A. distribution of dividend B. writing of f capital losses C. transferring to general reserve D. paying fees to directors

Last Answer : B. writing of

Description : Premium received on issue of shares is shown on-----------. A. asset side of the balance sheet B. liability side of the balance sheet C. credit side of the P&L a/c. D. debit side of the P & L a/c

Last Answer : B. liability side of the balance sheet

Description : As per SEBI Guideline minimum Application money shall not be less than A. 25% of Issue price B. 10% of Issue price C. 20% of Issue price D. 6% of Issue price

Last Answer : A. 25% of Issue price

Description : Cancelation of shares mean A. Reissue of shares B. Valuation of shares C. Forfeiture of shares D. Allotment of shares

Last Answer : C. Forfeiture of shares

Description : When the existing companies raise additional funds by issue of shares to the existing shareholders in proportion to their existing shareholdings, it is called– (A) Buyback of shares (B) Issue of shares at premium (C) Issue of shares at discount (D) Right shares issue

Last Answer : Answer: Right shares issue

Description : For amalgamation in the nature of merger, the shareholders holding at least ______ or more of the equity shares of the transferor company becomes the equity shareholders of the transferee company. A. 51% B. 90% C. 99% D. 100%

Last Answer : B. 90%

Description : Which of the following leads to under-capitalization? A. raising of more money by issue of shares. B. acquiring fixed assets on excessive amounts. C. over-estimation of earnings for enterprise. D. under-estimation of initial rate of earnings.

Last Answer : D. under-estimation of initial rate of earnings.

Description : Which of the following has the highest cost of capital? A. Loans B. Equity shares C. Bonds D. Preference shares

Last Answer : B. Equity shares

Description : Amalgamation is said to be in the nature of merger if: A. All assets and liabilities of transferor company are taken over by the transferee company. B. Business of transferor company is intended to ... paid in equity shares by the transferee company except for fraction shares. D. All of the above

Last Answer : D. All of the above

Description : Bonus shares can be issued by a company A. Out of the Reserves created by revaluation of fixed assets B. Out of share premium not collected in cash C. Without any provision for it in the Articles of Association of the company D. Out of free reserves built out of genuine profit

Last Answer : D. Out of free reserves built out of genuine profit

Description : The return on investment (ROI) may be calculated as A. Net profit before interest, tax and dividend / Capital employed B. Net profit after interest, tax and dividend / Shareholder's fund C. ( Net profit - preference dividend )/ No. of equity shares D. Return on Investment / Net profit ratio

Last Answer : A. Net profit before interest, tax and dividend / Capital employed

Description : The dividend on equity shares is only paid when dividend on ------- has already been paid. A. Debenture B. Preference Shares C. Bond D. Equity Shares

Last Answer : B. Preference Shares

Description : Following is the Source of fund A. Decrease in balance of Debenture B. Decrease in Long term Liability C. Increase in Long term loan D. Redemption of Shares

Last Answer : C. Increase in Long term loan

Description : Working capital will increase A. If Current Asset Decrease B. If Current Liability Decrease C. If Current LiabilityIncrease D. If new shares are issued

Last Answer : B. If Current Liability Decrease

Description : If the intrinsic values of shares exchanged are not equal, the difference is paid in ........... (A)Cash (B)Debenture (C)Pref. share (D)Assets

Last Answer : (A)Cash

Description : fter getting minimum subscription of shares, the company has to allot shares with in--------- ------days. A. 90 B. 100 C. 110 D. 120

Last Answer : D. 120

Description : When shares issued at premium which of the following account is credited? A. Share premium account B. Share first call account C. Share allotment account D. Share forfeited account

Last Answer : A. Share premium account

Description : Holders of preference shares will have a right to vote if the dividend remains in arrears for a period not lessthan A. 2 year B. 3 years C. 6 years D. none of these

Last Answer : 2

Description : Cash discount allowed to a debtor should be credited to a) Discount account b)Customer’s account c) Sales account d) Cash account

Last Answer : b)Customer’s account

Description : Provision for discount on debtors is calculated on the amount of debtors. a) Before deducting provision for doubtful debts. b)After deducting provision for doubtful debts. c) Before deducting actual debts and provision for doubtful debts. d) After adding actual bad and doubtful debts.

Last Answer : b)After deducting provision for doubtful debts.

Description : In initial years of planning, industrial development was largely based on A. export substitution B. import substitution C. transportation D. none of these

Last Answer : A. export substitution

Description : A newly established company cannot be successful in obtaining finance by way of A. issue of equity capital B. issue of preference share C. issue of debenture D. None of the above

Last Answer : C. issue of debenture

Description : Underwriting in terms of shares means 1. Agreeing to purchase shortfall of shares in a company in case of undersubscription 2. Selling shares at a discount 3. Purchasing property at less than market price 4. a and b 5. None of these

Last Answer : Agreeing to purchase shortfall of shares in a company in case of undersubscription

Description : If the Market value of closing Inventory is less than its cost price, inventory will he shown at ____ a) Marketable value b) Fair Market value c) Both d) none

Last Answer : a) Marketable value

Description : Which of the following is a revenue receipt? a) Loan from the International Monetary Fund b) Grant from the World Bank c) Borrowing from the Public d) Public Issue of shares

Last Answer : b) Grant from the World Bank

Description : The market value of `x`, Rs. 50 shares, at a discount of Rs. 10 is Rs. 4000, then `x=` _________.

Last Answer : The market value of `x`, Rs. 50 shares, at a discount of Rs. 10 is Rs. 4000, then `x=` _________. A. 10 B. 100 C. 50 D. 75

Description : A company is selling shares at Rs.96 each has a par value of Rs.120. The discount percentage is _______.

Last Answer : A company is selling shares at Rs.96 each has a par value of Rs.120. The discount percentage is _______.

Description : Which of the following statements is incorrect regarding a normal project? A. If the NPV of a project is greater than 0, then its PI will exceed 1. B. If the IRR of a project is 8%, its NPV, using ... the IRR of a project is greater than the discount rate, k, then its PI will be greater than 1.

Last Answer : D. If the IRR of a project is greater than the discount rate, k, then its PI will be greater than 1.

Description : One of the criticism levelled against the development strategy in India is that ............ .should have been given greater importance than industry. A. agricultural sector B. private sector C. public sector D. hilly sector

Last Answer : A. agricultural sector

Description : Why the public sector took over a number of sick units from the private sector? A. due to the social obligations of protecting employment B. due to low manufacturing C. due to the deficiency of managerial planning D. none of these

Last Answer : A. due to the social obligations of protecting employment

Description : In which type of industries the public sector units play a dominant role? A. petro chemical B. fertilizers C. steel industries D. all of the above

Last Answer : D. all of the above

Description : Choose the correct statement: A. the public sector would play useful in augmenting basic resources of country like land, forest, water B. the public sector will have responsibility for meeting social need C. public sector would not playa useful role in population controls D. only (A) and (B

Last Answer : D. only (A) and (B

Description : Competitors, Customers and Public are part of A. macro environment B. micro environment C. business necessities D. none of these

Last Answer : B. micro environment

Description : As per Industrial Policy resolution 1956, reserved industries for public sector are A. 12 B. 14 C. 16 D. 17

Last Answer : D. 17

Description : A possible obstacle to growth of privatisation is A. Profit earned by public enterprises B. Sale of least profitable enterprises C. Licensing D. All of these

Last Answer : B. Sale of least profitable enterprises

Description : A monopolistic trade practice is deemed to be prejudicial to public interest except when A. Authorized by Central Government B. Authorized by State Government C. Authorized by Supreme Court D. None of the above

Last Answer : B. Authorized by State Government

Description : What are the decisions taken by government of India pertaining to Industrial Sector in the new industrial policy of 1991? A. VRS to shed the excess load of workers B. Disinvestment of public sector share holding C. Referring sick units to BIFR D. All of the above

Last Answer : D. All of the above

Description : In case of public limited company, after getting the-----------the company can start the business A. Memorandum of Association B. Table A C. Certificate of commencement of business D. Articles of Association

Last Answer : C. Certificate of commencement of business

Description : Maximum number of members in public limited company is ---------------. A. 10 B. 20 C. 50 D. unlimited

Last Answer : D. unlimited

Description : Minimum number of members in case of public company is---------. A. 4 B. 5 C. 6 D. 7

Last Answer : D. 7

Description : What are the three decisions making operations performed by the ALU of a computer? a. Grater than b. Less than c. Equal to d. All of the above

Last Answer : d. All of the above