Calls in Advance is like a ___________.

loan received by the company to the shareholders

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loan granted by the company to the shareholders

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Loan granted by the company to the vendors

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Loan received by the company from the vendors

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Solution

The correct option is B
loan granted by the company to the shareholders

Calls in Advance is like a loan received by the company from the shareholders.

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Similar questions

Q. is like a loan received by the company from the shareholders.

Q. By the Act of

1773

, Parliament granted a loan of ___________ to the East India Company.

Q. ABC Ltd. took a loan of Rs. 50 lac from a Bank for its growth and expansion plans. The company was unable to repay because of heavy losses. The company asked its shareholders to come forward and contribute towards repayment of loan. The shareholders refused as they had already paid the full amount due on their shares. Bank filed a case against ABC Ltd. The court said that company could not call shareholders to repay loan as they have no unpaid amount of shares. It was the duty of ABC Ltd. to use company's assets to repay loan.
(a) In the above case what kind of liability is enjoyed by the shareholders of ABC Ltd.?
(b) Which feature of company protected shareholders, i.e., owner of business not to pay?

Classify the following activities into (i) Operating Activities, (ii) Investing Activities, and (iii) Financing Activities in case of (a) a Financial Enterprise, and (b) a Non-Financial Enterprise:
1. Purchase of securities fo a company.
2. Brokerage paid for the purchase fo securities.
3. Sale of securities of a Company.
4. Loans and advances made.
5. Receipts from the repayments of loans and advances.
6. Interest received on securities.
7. Dividend received on securities.
8. Interest paid on borrowings.
9. Dividend paid to shareholders.

Q. If authorized by the____________ a company may received from a shareholder the amount remaining unpaid on shares, even though the amount has not been called up which is known as calls-in-advance.

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Calls in Advance is like a ___________.

The correct option is B loan granted by the company to the shareholders Calls in Advance is like a loan received by the company from the shareholders.

The correct option is B
loan granted by the company to the shareholders

Calls in Advance is like a loan received by the company from the shareholders.