estimated amount of preliminary expenses. (xi) Name and address of the auditors, bankers and solicitors of the company. (xii) Time and place where copies of balance sheets, profits and loss account and the auditor’s report may be inspected. (xiii) The auditor’s report so submitted must deal with the profit and loss of the company for each year of five financial years immediately preceding the issue of prospectus.
(xiv) If any profit or reserve has been capitalized, the particulars of such capitalization will be stated in the prospectus. For Own Thinking . Name any Government owned Joint Stock Company. .
Name any Joint stock company with private ownership. . Name any Private ownership with Foreign participants. Key Terms Guarantee Memorandum of Association Prospectus Common seal Perpetual succession Artificial person commerce - - .
. PM Exercise I. Choose the Correct Answer . The relationship between outsiders and the company is defined in a) Prospectus b) Articles of Association c) Memorandum of Association d) Certificate of Incorporation .
Table A of the Companies Act is a a) Model minutes book b) Model form of Balance Sheet c) Model of AOA d) Model of MOA Collect advertisements of three different companies inviting the public to subscribe their shares. Compare their contents regarding following points Articles Company A Company B Company C Name Objectives Types of shares to be subscribed Total amount of issue The issue price of each share For Future Learning Case Study Case : Ashok is an industrial designer by training. He had the opportunity to learn the technology of fibre glass manufacture while he was in Germany for his training. He plans to set up a plant for the manufacture of fibre glass in India and is able to interest some financiers and technologists.
It is estimated that the initial investment in the plant will be of the order of ₹ lakhs. Ashok and others decide to set up a company for the purpose. Should they set up a public limited company for the purpose? If so, how should they go about it?