Download App

DISSOLUTION OF A COMPANY. — SPCC STD 12 Commerce — Question

Gujarat BoardEnglish MediumSTD 12 CommerceSPCCDISSOLUTION OF A COMPANY.2 Marks
Question
"The process before winding up is the process of taking company into liquidation." - Explain this statement.
✓

Answer

The Company is created and dissolved as per legal proceedings. Therefore, if the company is to be dissolved then the company has to first take it into liquidation process. The company does not end when the company is liquidated. But after the liquidation process and the legal procedure are completed, the company is dissolved and its legal entity is over. Therefore, it can be said that the previous process of dissolution is the process of taking the company into liquidation.

Need a full question paper?

Generate a complete, print-ready paper with questions like this in minutes — across 16+ boards, with answer keys.

Start Generating Free

Explore more

More "2 Marks Each" from DISSOLUTION OF A COMPANY.→DISSOLUTION OF A COMPANY. — all question types→SPCC STD 12 Commerce question papers→Gujarat Board STD 12 Commerce question papers→Gujarat Board question paper generator→

Similar questions

For which issues do business firms normally need to correspond with government departments?
→
State the duties of the Secretary.
→
Which organizations are usually responsible for providing public utility services?
→
Regarding which issues, complaint letters written to the banks?
→
Which details are included in the notice of the meeting ?
→
What are the reasons why business firms need to correspond with government departments in general?
→
State the effects of Share Forfeiture.
→
Name the types of Debentures.
→
Under what circumstances can a subsidiary company acquire membership of holding company?
→
State the types of Debentures.
→