The buy-back of equity shares in any financial year shall not exceed:
The specific annual ceiling for buying back equity shares is 25% of the total paid-up equity capital in that financial year. The proviso to section 68(2)(c) of the Companies…
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The buy-back of equity shares in any financial year shall not exceed:
Answer and explanation
Correct answer B
The specific annual ceiling for buying back equity shares is 25% of the total paid-up equity capital in that financial year. The proviso to section 68(2)(c) of the Companies Act, 2013 applies this equity-capital basis, distinct from the aggregate paid-up-capital-and-free-reserves basis for the general buy-back limit.
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Kerala SET (LBS Centre)