The correct answer is: C. 10% of face value of share.
The minimum subscription amount is the amount of money that a shareholder must pay to subscribe for a share. The minimum subscription amount is usually set by the company’s board of directors. In India, the minimum subscription amount is 10% of the face value of the share.
The face value of a share is the nominal value of the share. It is the amount that is printed on the face of the share certificate. The face value of a share is not necessarily the same as its market value. The market value of a share is the price at which the share is traded on the stock exchange.
The minimum subscription amount is important because it helps to ensure that the company has enough money to start its business. If the company does not have enough money, it may not be able to pay its bills or its employees. This could lead to the company going bankrupt.
The minimum subscription amount also helps to protect the interests of the shareholders. If the company does not have enough money, the shareholders may not get their money back. This is why it is important for shareholders to make sure that they understand the risks involved in investing in a company.