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Under the general rule in Section 135(5) of the Companies Act, 2013, a company covered by Section…

The general CSR spending requirement is at least 2% of average net profits over the three immediately preceding financial years. Under section 135(5) of the Companies Act,…

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Under the general rule in Section 135(5) of the Companies Act, 2013, a company covered by Section 135(1) must spend at least __________% of its average net profits during the immediately preceding __________ financial years in pursuance of its CSR Policy.

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Correct answer C

The general CSR spending requirement is at least 2% of average net profits over the three immediately preceding financial years. Under section 135(5) of the Companies Act, 2013, a company with a shorter financial history uses its available immediately preceding financial years.

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