When there's no Article of Association of its own, the following provision of table A will apply at the time of issue of shares........
Answer & explanation
Correct answer: option 3
The correct answer is option 3- A minimum of 14 days notice is given to the shareholders to pay the amount.
When there's no Article of Association of its own, the following provision of table A will apply at the time of issue of shares, a minimum of 14 days notice is given to the shareholders to pay the amount.
NCERT: Where there is no articles of association of its own, the following provisions of Table A will apply:
(a) A period of one month must elapse between two calls.
(b) The amount of call should not exceed 25% of the face value of the share. [Calls should not exceed 25% of face value (so Option 4 is incorrect).]
(c) Calls must be made on a uniform basis on all shares within the same class.
(d) A minimum of 14 days’ notice is given to the shareholders to pay the amount.