Podcast
Play an AI-generated podcast conversation about this lesson
Questions and Answers
What happens when shares are forfeited?
What happens when shares are forfeited?
- They are reissued at a discount
- They are transferred to the company's reserve
- They are sold to new shareholders
- They are canceled and no longer exist (correct)
How does a call in advance impact shareholders?
How does a call in advance impact shareholders?
- It increases the liability of shareholders to pay for shares
- It requires shareholders to pay for shares before the due date (correct)
- It reduces the value of shares held by shareholders
- It has no impact on shareholders
Which of the following events does not affect share capital?
Which of the following events does not affect share capital?
- Reissue of shares
- Call in arrear (correct)
- Call in advance
- Forfeiture of shares
Flashcards are hidden until you start studying
