Read the passage given below and answer the question:

K Ltd. invited applications on 3000 Equity Shares of 100 each at a premium of 20. For application ₹ 50, on allotment ₹ 50 and on final call 20. Application also includes premium amount. Total application received 4,000 and allotted on prorata basis and excess amount adjusted towards allotment. One shareholder holding 600 shares did not paid allotment money but paid it with final call that was made after 2 months of allotment. Final call amount received in full.

What will be the rate of interest on calls in arrears if Articles of Association is silent?

@10% p.a.

The correct answer is Option 3- @10% p.a.

As per Companies Act, 2013, the maximum rate of interest on calls in advance is 12%p.a. As per Companies Act, 2013, the maximum rate of interest on calls in arrears is 10% p.a.