Home › CA Foundation › businesslaw › The Companies Act, 2013 › In a company limited by guarantee, the members' …
In a company limited by guarantee, the members' liability to contribute the guaranteed amount arises:
AOnly on the winding up of the company
BNever
COn declaration of dividend
DAt any time during the company's life
Answer & Solution
Correct answer: A. Only on the winding up of the company
In a guarantee company members may be called upon to contribute the guaranteed sum only on winding up, unlike a share company where calls can be made any time.
Related questions
A private company which is a subsidiary of a public company is, for the purposes of the AcUnder Section 44, shares (or debentures) of a member in a company are:Under Section 43, the share capital of a company limited by shares is of two kinds:'Paid-up capital' is equal to:Under Section 2(8), 'authorised' (nominal) capital is:Under Section 9, the effect of registration is that, from the date of incorporation, the cUnder Section 7, upon registration the Registrar issues a certificate of incorporation andUnder Section 2(52), a 'listed company' is one which: