Match List-I with List-IIList–IList–II(A) Authorized capital(I) Mentioned in Prospectus.(B) Issued capital.(II) Mentioned in Memorandum of Association.(C) Subscribed capital.(III) called up capital–calls in arrears.(D) Paid up capital.(IV) Capital for which application is received.Choose the correct answer from the options given below:
- A(A) - (I), (B) - (II), (C) - (III), (D) - (IV)
- B(A) - (I), (B) - (III), (C) - (II), (D) - (IV)
- C(A) - (II), (B) - (I), (C) - (IV), (D) - (III)
- D(A) - (III), (B) - (IV), (C) - (I), (D) - (II)
Solution & Step-by-step Explanation
Let's find the correct matching properties based on corporate financial definitions:(A) Authorized capital corresponds to (II) because it must be stated inside the Capital Clause of the Memorandum of Association.(B) Issued capital corresponds to (I) because the prospectus outlines how many shares are currently being offered out of total capacity.(C) Subscribed capital corresponds to (IV) because it stands for that part of issued capital for which applications have been received from the public.(D) Paid up capital corresponds to (III) since it is computed mathematically by subtracting calls in arrears from called-up capital ().This perfectly matches Option C: (A) - (II), (B) - (I), (C) - (IV), (D) - (III).