Multiple Choice Questions on A company cannot issue ........ for UPSC EPFO Exam Preparation

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Multiple Choice Questions

A company cannot issue ........

General Accounting Principles Accounting for Shares
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    A company cannot issue :

    Redeemable Equity Shares

    Correct Answer

    Redeemable Preference Shares

    Incorrect Answer

    Redeemable Debentures

    Incorrect Answer

    Fully Convertible Debentures

    Incorrect Answer
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    Explanation:

    A company limited by shares were allowed to issue three types of shares:

    • Preference shares
    • Equity (ordinary) shares; and
    • Deferred shares.

    thus, A company cannot issue Redeemable Equity Shares

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