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Which among the following is NOT a method of raising the required capital in the primary market?

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Question

Which among the following is NOT a method of raising the required capital in the primary market?

Options

  • Xma Ltd. raised additional finance from existing shareholders by offering securities to them in proportion to the shares they are holding.

  • Prabhat Luminous Ltd. raised funds by selling its shares mainly to the General Insurance Corporation of India and Army Group Insurance.

  • To increase the efficiency of the employees and reduce labour turnover, the management of CVK Ltd. made employees the shareholders and enabled them to share the profits of the company.

  • Sujata AI Ltd. raised funds from Mr. Bansal, an affluent individual in exchange for ownership equity.

MCQ
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Solution

Sujata AI Ltd. raised funds from Mr. Bansal, an affluent individual in exchange for ownership equity.

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2023-2024 (March) Board Sample Paper

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