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A company seeking to renew an existing deposit at a higher rate must renew for a fresh period:
Answer & Solution
Correct answer: A.
1. Rule 16A — fresh tenure on renewal must be LONGER than the unexpired period of the original deposit.
2. The exact duration is not fixed; only the comparison matters.
3. Hence (D).
_Source: ICAI BoS CA Inter Paper 2 — Acceptance of Deposits_