Before a company can be would up by its shareholders, its directors must make a declaration of solvency.This is a declaration that:
A) The shareholders believe that the company is insolvent.
B) The directors believe that the company will be able to pay all its debts within 12 months after the commencement of the winding up.
C) The directors believe that the company has no significant debts.
D) The directors believe that the company should not be wound up.
Correct Answer:
Verified
Q24: What is the legal effect of the
Q39: Which of the following acts on the
Q40: A 'floating charge' is a security for
Q41: A Court does not have the power
Q42: If the partners in a limited duration
Q44: An alternative to liquidation is:
A)A Part X
Q45: The liability of incoming partners for partnership
Q46: A person is insolvent when:
A)They believe that
Q47: The potential legal consequences for a company
Q48: A 'partnership at will' is:
A)An open ended
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents