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(a) Examine any FIVE (5) differences between the share capital and loan capital of a company. (10 marks) (b) Dividend refers to a reward, cash

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(a) Examine any FIVE (5) differences between the share capital and loan capital of a company. (10 marks) (b) Dividend refers to a reward, cash or otherwise, that a company gives to its shareholders. Dividends can be issued in various forms, such as cash payment, stocks or any other form. Provide any FOUR (4) rules relating to company dividends. (4 marks) (c) RIMA Bhd., a publicly listed company, has incurred substantial losses over the past three years. The value of the company's shares has been gradually declining, and as a measure to boost investors' confidence, the company intends to repurchase its own shares. Advise the company whether it can buy back its own shares under the Companies Act 2016. (6 marks) Explain the FOUR (4) main categories of corporate social responsibility that Bursa Malaysia has recognised. In your answer, include the definition of corporate social responsibility. (10 marks) A firm's stakeholders are a variety of interested parties whom each have a unique role to play in the organisation. Describe any FIVE (5) stakeholders of a company. In your answer, include their relevant claims. (10 marks) 1.1 Describe a company. (4 marks) 1.2 Distinguish between a company limited by shares and a company limited by guarantee. (4 marks) 1.3 Discuss any TWO (2) advantages of an exempt private company. (4 marks) 1.4 Give any FOUR (4) disadvantages of a partnership. (4 marks) 1.5 List any FOUR (4) disadvantages of a company. (4 marks) 1.6 Explain the facts and decision of Smith, Stone \& Knight Ltd v Birmingham Corporation (1939). (4 marks) 1.7 Distinguish between a notice of registration and a certificate of incorporation of a company. (4 marks) 1.8 Explain the legal effect of a constitution of a company and the potential consequences that may arise if a company does not have a constitution. (4 marks) 1.9 Give any FOUR (4) provisions that a constitution of a company may contain under the Companies Act 2016. (4 marks) 1.10 Compare a pre-incorporation contract and a provisional contract. (4 marks) a) Examine whether Skanda Sdn. Bhd. can grant an ex-gratia payment of RM50,000 to Karim who will be retiring as an executive director of the company after having served the company for 32 years in appreciation of the services he has faithfully rendered to the company. (12 marks) b) DDD Sdn. Bhd. is a company located in Shah Alam, Selangor and it is interested to purchase a land for the construction of its new factory. Bibi, one of its directors, who owns a piece of land in Shah Alam, has offered to sell her land to the company for RM 2.6 million. The board of directors of DDD Sdn. Bhd. are very keen to purchase the land from Bibi but they are concerned whether their action would violate the provisions of the Companies Act 2016. Advise the directors whether the proposal to purchase the land from Bibi would violate the Companies Act 2016. (8 marks)

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