Advertisement Remove all ads

Varunica Ltd., a Reputed Truck Manufacturing Company, Needs Rupees Twenty Crores as Additional Capital to Expand Its Business. Mr. Alind Jindal, the Ceo of the Company - Business Studies

Varunica Ltd., a reputed truck manufacturing company, needs rupees twenty crores as additional capital to expand its business. Mr. Alind Jindal, the CEO of the company, wants to raise funds through equity. The Finance Manager, Mr. Nikhil Sachdeva, suggests that the existing shareholders be offered the privilege to subscribe to new issue of shares as per the terms and conditions of the company which was agreed by Mr. Alind Jindal.
Name the method through which the company decided to raise additional capital. 

Advertisement Remove all ads

Solution

The method through which the company decided to raise additional capital is 'Rights Issue'.

Concept: Concept of Fixed and Working Capital
  Is there an error in this question or solution?
Advertisement Remove all ads
Advertisement Remove all ads
Advertisement Remove all ads
Share
Notifications

View all notifications


      Forgot password?
View in app×