Multiple Choice
A company cannot offer financial assistance to purchase its own shares unless
A) the purchased shares are used to repay a loan utilized to obtain the same shares
B) the company guarantees a loan obtained with the purpose of buying the company's own shares
C) the company lends the money to a third party in order for them to purchase the shares
D) the assistance is not given for the purchase of shares and is given in good faith in the interests of the company
Correct Answer:

Verified
Correct Answer:
Verified
Q2: On winding up, which of the following
Q3: What is the Cakes and Ale Case
Q4: What is the 'book value' of an
Q5: The principle of capital maintenance can be
Q6: Which of the following is considered a
Q7: For the consequences of unlawful distributions the
Q8: What is a dividend?<br>A) a payment made
Q9: A creditor would prefer to trade with
Q10: A company may purchase its own shares<br>A)
Q12: Under s.641-644 Companies Act 2006, which of