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Question
Complete the sentence.
The document issued by a company to invite investors to buy its securities is called as _________
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Solution
The document issued by a company to invite investors to buy its securities is called as Prospectus.
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RELATED QUESTIONS
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Primary document of a company which states aims and objectives of a company.
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Prospectus attached with every share application form.
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Actions can be taken against a company or its officers for misstatements in prospectus.
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Red Herring prospectus does not contain details of the price at which shares will be sold by the company.
Find the odd one.
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Any act done by the company which goes beyond the powers of Memorandum of Association will be calledas _________
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| Group A | Group B |
| Liability clause | ___________ |
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b) Name clause.
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objective clause
Study the following case/situation and express your opinion:
A Company plans to offer Rights Issue.
a) Which document must it send to its shareholders for offering the Rights Issue?
b) Instead of Rights Issue, if the company wants to issue shares to the public, which document must it issue for inviting the public to subscribe for it?
c) Name the document which is called as incomplete prospectus.
