Question

Which of the following Table of Schedule I to the Companies Act, 2013 contains the provisions relating to Calls-in-Advance & Calls-in-Arrears?

• A. Table F
• B. Table A
• C. Table C
• D. Table G

Answer 1

The correct option is A Table F

Sub-section (6) of Section 5 of the Companies Act, 2013 provides that the articles of a company shall be in respective forms specified in Tables, F, G, H, I and J in Schedule I as may be applicable to such company. Table F talks about AOA of company limited by shares. Under table F, there are 91 provisions regarding what all to be covered under the AOA. The provisions also talk about Calls in Advance and Calls in Arrears.

Calls in arrears is the amount which defaulter shareholders have not paid on the amount called up by company. Calls in arrears may be recovered in future or in the event not received shares may be forfeited. Interest on calls in arrears is the income of company.

Calls in advance is the amount which is received in advance before the amount is due from shareholders. Calls in advance is adjusted in future at the time of relevant call. Interest on calls in advance is the expenses of company