While issuing the share capital for public subscription 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.
(C) A minimum of 7 days' notice is given to the shareholders to pay the amount.
(D) Calls must be made on a uniform basis on all shares within the same class.
Choose the correct answer from the options given below:
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) → (A), (B) and (D) only
Where a company has no articles of association of its own, the provisions of Table A on calls apply.
(A) A period of one month must elapse between two calls. Correct. At least one month must pass between two calls.
(B) The amount of call should not exceed 25% of the face value of the share. Correct. A call cannot exceed 25% of the face value of the share.
(C) A minimum of 7 days’ notice is given to the shareholders to pay the amount. Incorrect. The notice to shareholders must be at least 14 days, not 7 days.
(D) Calls must be made on a uniform basis on all shares within the same class. Correct. Calls must be made uniformly on all shares of the same class.
NCERT (2026-27 edition):
NCERT (2026-27 edition):
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