📢 Too many exams? Don’t know which one suits you best? Book Your Free Expert 👉 call Now!

    Question

    What are sweat equity

    shares?
    A Shares issued by a company Correct Answer Incorrect Answer
    B Shares issued only in the form of cash, not any other consideration Correct Answer Incorrect Answer
    C Shares issued by a company to its directors or employees at a discount or for consideration, other than cash, for providing know-how or intellectual property rights Correct Answer Incorrect Answer
    D Shares can be issued for providing services or know-how, but not for intellectual property rights Correct Answer Incorrect Answer

    Solution

    Explanation: Section 2(88) Such equity shares as are issued by a company to its directors or employees at a discount or for consideration, other than cash, for providing their know-how or making available rights in the nature of intellectual property rights or value additions, by whatever name called.

    Practice Next
    More Banking Operations Questions
    ask-question