The Administrator of a Company Under Administration Has Power to Do

question 25

Multiple Choice

The administrator of a company under administration has power to do which of the following?
I. appoint a person as director.
II. remove from office a director of the company.
III. execute a document, bring or defend proceedings, or do anything else, in the company's name and on its behalf.

• A) I, II and III
• B) II and III only
• C) I and II only
• D) I and III only

---

Definitions:

T Accounts

A tool used in accounting to represent the debit and credit sides of a transaction for individual accounts.

Trial Balance

An accounting report that lists the balances of all ledgers summarized into debit and credit columns, used to verify the accuracy of bookkeeping entries.

Stockholders' Equity

The owners' residual interest in a corporation, calculated as total assets minus total liabilities, representing the net worth.

Posting Errors

Mistakes that occur when transferring journal entries to the ledger accounts, which can lead to discrepancies in financial records.