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Shareholders' liability when in a liquidation

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA LW Exams › Shareholders' liability when in a liquidation

  • This topic has 3 replies, 2 voices, and was last updated 10 years ago by AvatarMikeLittle.
Viewing 4 posts - 1 through 4 (of 4 total)
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  • November 2, 2015 at 11:37 am #280069
    Avatarnicole2015
    Member
    • Topics: 2
    • Replies: 3
    • ☆

    Hi Mike,
    I just found that the answer for the below question in OpenTuition mock exam is different from that in OpenTution Note practice questions. This is for F4 ENG variant.

    Can you advise me the correct answer & explanation?

    1. In a liquidation, the holder of partly paid shares will have to pay the amount as yet unpaid on those shares.. To whom is that money payable?
    a. the Court
    b. the liquidator
    c. the company
    d. the bank

    Thanks a lot

    November 2, 2015 at 12:55 pm #280080
    AvatarMikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23368
    • ☆☆☆☆☆

    Yes, it’s an awkward one. The correct answer is “the company” but the payment will be sent to the liquidator who is now acting as the agent of the company

    OK?

    November 3, 2015 at 1:34 am #280157
    Avatarnicole2015
    Member
    • Topics: 2
    • Replies: 3
    • ☆

    Hi Mike, okay, understand now. Thank you:)

    November 3, 2015 at 7:34 am #280175
    AvatarMikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23368
    • ☆☆☆☆☆

    You’re welcome

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