Question : Shares can be issued:-
Option 1: For cash only
Option 2: For credit only
Option 3: For cash or consideration other than cash
Option 4: For consideration other than cash only
Correct Answer: For cash or consideration other than cash
Solution : Answer = For cash or consideration other than cash
1. Issue of Shares for Cash: When shares are issued for cash, investors purchase shares directly from the company by paying the agreed-upon price per share in cash. 2. Issue of Shares for Consideration Other Than Cash: In some cases, shares may be issued by a company in exchange for consideration other than cash. This consideration may take various forms, such as assets, property, services, or the settlement of debts.
Question :
Debentures, whether issued for cash or for consideration other than cash, may be issued:
Option 1: at par
Option 2: at premium
Option 3: at discount
Option 4: All of the above
Debentures may be issued:
Option 1: for Cash
Option 2: for consideration other than Cash
Option 3: as Collateral Security
Question : Examples of Non-cash Transactions are-----
Option 1: Depreciation and
Option 2: Amortization Expenses, Issue of Bonus Shares,
Option 3: Issue of Equity Shares or Debentures for consideration other than cash
Regular exam updates, QnA, Predictors, College Applications & E-books now on your Mobile