When an Entity Issues Shares,until Such Time as the Shares

question 47

Multiple Choice

When an entity issues shares,until such time as the shares are allotted,the amount received must be held in trust.It remains in trust (refer s722 of the Corporations Act) until:

• A) So directed by ASIC.
• B) The money is returned to the applicants.
• C) Options are issued over the shares.
• D) The Board of Directors indicate that the received monies are required by the entity.
• E) None of the given answers.

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Definitions:

Defense Spending

Government expenditure on military forces and activities, including salaries, benefits, weapons systems, and operations.

Social Security

A government program that provides financial assistance to people with inadequate or no income, particularly the elderly, disabled, and families with dependent children.

Property Tax

A levy on property that the owner is required to pay, typically based on the value of the property.

Government Revenue

The income received by the government from taxes, fees, fines, and other sources, used to fund public services and obligations.