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Stocks
Equity shares of ownership in a corporation that give the holder a claim on the company's earnings and dividends
3,861 Questions
What is the procedure for issue of bonus share adopted by a company?
For making an issue of bonus shares, the following conditions must be complied with:
(1) Sufficient undistributed profits must be there.
(2) Articles must permit such an issue.
(3) Suitable resolution by the Board of Directors must be passed.
(4) Formal approval of the shareholders in a general meeting must be secured.
(5) Permission of the 'Controller of Capital Issues' must be obtained under the Capital Issues Control Act, 1947, regardless of the amount involved. There is no lower exemption limit in case of bonus share because care is taken to see that the company does not get over-capitalised in the process, and that the issue satisfies the guideÂlines prescribed by the Government in that regard. It is worth noting here that the said permission is required to be obtained by every company whatsoever-private company, banking and insurance comÂpany, government company and public company.
Procedure on Issue of Bonus Shares :The secretarial procedure followed in the issueof bonus shares may briefly be stated as follows :
(1) To ensure that Articles permit the issue of bonus shares. If not, the Articles should be suitably amended.
(2) To ensure that the bonus issue is within the limits of authorized share capital of the company. If not, memorandum and articles have to be suitably amended.
(3) To convene a meeting of the Board of Directors:
to consider the proposal for 'Bonus Issue' and the proportion in which the same should be issued.
to fix up the date, time, place and agenda of the extra-ordinary general meeting to be convened for securing the approval of the shareholders.
to approve the date of closing the Register of Members and transfer books.
(4) If the company's shares are listed on a Stock Exchange, to notify the Exchange of the date of the Board meeting which will consider the issue of bonus shares and further to notify the Exchange of the decision in that regard immediately after a formal decision has been taken.
(5) To issue notices to members relating to the aforesaid general meeting along with the explanatory statement.
(6) To pass a resolution in the general meeting, as per Articles. If it is a special resolution a copy thereof to be filed with the Registrar within 30 days.
(7) To obtain the permission of the Controller of Capital Issues regardless of the amount involved.
(8) To obtain the approval of stock exchange(s) for the procedure to be followed for allotment of bonus shares.
(9) To obtain the approval of the Reserve Bank of India, under the foreign Exchange Regulation Act, 1973, for allotment of bonus shares to non-resident members, if any.
(10) To prepare 'provisional allotment sheets' i.e., the lists of members showing their present shareholding and the number of bonus shares to which they are entitled.
(11) To convene another Board meeting: (i) to approve the 'proviÂsional allotment sheets' and to pass an allotment resolution, and (ii) to approve the date of closing the Register of Members and transfer books.
(12) To give a public notice in some leading newspaper regarding the closure of Register of Members and transfer books for the purpose of issue of bonus shares. (A specimen of such a notice is given at the end of this chapter)
(13) To issue Allotment Letters to the members along with a circular-explaining how the allotment has been made.
(14) To file with the Registrar within 30 days of allotment a 'Return of Allotment' stating: (i) the number and nominal amount of the bonus shares so allotted; (ii) names, addresses and occupations of the allottees; and (iii) a copy of the resolution authorising the issue of such shares [Sec. 75(1) (c)(i)].
(15) To make necessary entries in the Register of Members.
(16) To prepare and issue new share certificates.
What is the price of Chrysler Corp Stock 4272009?
As of right now Chrysler is a private company and does not sell stock.
What happens to GM stockholders after they file for chapter 11?
It will not go to $100. It will most likely become worthless as it will be delisted tomorrow and GM, in fact, plans to sell all of its assets to a new company they are calling the "New G.M." The person who previously answered is wrong, to say the least (but, if I weren't intending for this post to be kept up, I would have added a few choice words in response). In virtually ALL bankruptcies the existing stock becomes worthless. Stock is equity - meaning ownership - in the company. The creditors (that is those the Co owes debts to...bondholders, etc...) generally will not get paid all they are owed and will take losses in the bankruptcy. Clearly it is unfair that the owners would get away with not paying it's debts, but those same owners would get to keep anything of value for themselves....before that happens, the BK process should award/allow the creditors to take the stock as payment. Understand, investing in a Corporation you are at risk only up to the amount of your investment...nothing else. If it wasn't a Corporation, but say a group of partners...the debts of the business would be the debts of the partners....and if the business faile, they wouldn't only lose their investment....but have to pay off the business debts personally too.
What do selling shares give a company?
money. A company sells a portion of ownership in itself (stock) in exchange for capital.
Why wealth maximization is a function of share price maximization?
because the maximazation is a Behavior that attempts to maximize such performance measures as revenue, profits, contribution margin, or expected net present value
Is Vizio a good stock investment?
Their balance sheet is not available, but based on their recent success it would be safe to say yes. But they are notpublicly traded. They are currently a private company.
What year did Sony stocks become publicly traded?
Well, Sony is a Japanese Company so it has a subsidiary Sony Corporation of America to manage its sales and operations here. Public trading on the Tokyo SE began December 1, 1958. The NYSE trade date (foreign corporation) began September 17, 1970.
Can the president of the US have money in the stock market?
Before the white house any U.S. president was just another person. Once they have become President, they're still allowed to invest in the stockmarket as any other person would.
Who can trade stocks after hours?
Ideally speaking nobody. As per law trading on stocks after the close of stock market is illegal. The purpose of having a stock market and timing is to ensure that everybody gets an equal chance at trading in stocks.
To invest in the businesses success both to improve the businesses output and to receive a share of the profit. Some brokers buy stock purely to sell for profit.
How should the BSE be conducted?
The BSE (Bovine Spongiform Encephalopathy) testing should be conducted by following strict protocols to ensure accuracy and safety. This includes collecting samples from the brain and spinal cord of suspect animals and using approved laboratory techniques for testing. It is essential to adhere to national and international guidelines to prevent contamination and ensure reliable results. Regular training for personnel involved in the testing process is also crucial for maintaining high standards of biosecurity and animal health.
The idea that employees should also share the profit of organization was given by What theorist?
Charles Babbage
Ticker symbol for McCaw Cellular Communications?
Is there anywhere that you can find an old ticker symbol for a company that is no longer in existence?
What does it mean to liquidate your stocks?
When you liquidate you stocks, it simply means that you are selling all of them. The term liquidate can also be applied to businesses. When a business liquidates, they are in the process of selling everything that is under its ownership.
What most accurately describes the difference between common stock and preferred stock?
Preferred stock pays out earnings at fixed, regular dividends
