Question

If the guarantee company having share capital the liability of shareholders will be _________.

• A. guarantee + unpaid value of shares
• B. unpaid value o shares
• C. unlimited
• D. None of the above

Answer 1

Answer: (A)

guarantee + unpaid value of shares

In a company limited by shares, the shareholders' liability is limited to the amount the shareholder has agreed to pay for his or her shares. In a company limited by guarantee, the liability is limited to the amount of the guarantee set out in the company's articles along with unpaid value of the shares.