TheCorporations Act 2001 Requires That Where a Company Redeems Preference

question 80

True/False

TheCorporations Act 2001 requires that where a company redeems preference shares it must do so out of profits that would otherwise be available for dividends or out of the proceeds of a fresh issue of shares made for the purpose of the redemption.

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Definitions:

Dominance

The power and influence one entity has over others, often established through a hierarchy, control of resources, or physical strength.

Medical Deduction

An allowable deduction in U.S. taxes for expenses related to healthcare exceeding a certain percentage of one's adjusted gross income.

Chiropractor's Services

Medical treatments provided by a licensed practitioner focusing on the diagnosis and treatment of neuromuscular disorders, primarily through manual adjustment or manipulation of the spine.

Federal Income Taxes

Taxes levied by the U.S. federal government on the annual earnings of individuals, corporations, trusts, and other legal entities.