The correct answer is C. fully paid.
Bonus shares are shares that are issued to existing shareholders without any additional payment. They are a way for companies to reward shareholders and increase their ownership stake in the company.
Bonus shares are not permitted unless the partly paid or unpaid shares, if any, are made fully paid. This is because bonus shares are considered to be a form of capital and companies are not allowed to issue capital unless all of the existing capital is fully paid.
Partly paid shares are shares that have not been paid for in full. The shareholder will usually be required to pay the remaining amount within a certain period of time.
Unpaid shares are shares that have not been paid for at all. The shareholder will usually be required to pay the full amount of the share within a certain period of time.
If a company issues bonus shares while there are partly paid or unpaid shares outstanding, the new shares will be considered to be partly paid or unpaid as well. This means that the shareholders will be required to pay the remaining amount of the new shares within a certain period of time.
This is why it is important for companies to make sure that all of the existing shares are fully paid before issuing bonus shares.