[amp_mcq option1=”To issue debentures” option2=”To make loans” option3=”To remit the payment of any debt due by a director” option4=”To issue prospectus” correct=”option3″]
The correct answer is C. To remit the payment of any debt due by a director.
The Board of Directors is responsible for the overall management of a company. They have the power to make decisions on behalf of the company, but they cannot do anything that is beyond the powers of the company.
One of the powers of a company is to borrow money. This can be done by issuing debentures or by taking out loans from banks. The Board of Directors has the power to decide whether or not to borrow money, and they also have the power to decide how much money to borrow.
However, the Board of Directors does not have the power to remit the payment of any debt due by a director. This is because the Board of Directors is not responsible for the personal debts of the directors. The directors are responsible for their own debts, and they cannot use the company’s money to pay off their debts.
The other options are all within the powers of the Board of Directors. A debenture is a type of loan that a company can issue. A loan is a sum of money that a company can borrow from a bank. A prospectus is a document that a company must issue when it is offering shares to the public.