Question

Sec. 182 of 'New Companies Act 2013' describes the provisions regarding ________________________.

• A. Restrictions and prohibition about political contribution
• B. Restrictions about managerial remuneration
• C. Appointment of auditors
• D. Operation of Annual General Meeting (AGM)

Answer 1

The correct option is A Restrictions and prohibition about political contribution

Section 182 of the companies act describes the provisions regarding restrictions and prohibitions about political contribution. It states that any company other than a government company which has been existing for a period of more than 3 financial years can contribute money to a political party, which cannot be more than 7.5% of the average profit of the 3 preceding financial years.