Question

As per Sec. 69 (3) of the Companies Act, 1956, the amount payable on application on each share must be at least ______________________.

• A. 5% of the nominal amount of share
• B. 25% of the nominal amount of share
• C. 25% of the called amount of share
• D. 5% of the called amount of share.

Answer 1

Answer: (A)

5% of the nominal amount of share

The amount payable on application on every security shall not be less than five percent of the nominal amount of the security or such other percentage or amount as may be whenever a company having a share capital a share capital makes any allotment of in case of any default under sub -section or sub-section.