New Enroll in RBI Grade B New Batch - Starts on May 21

    Question

    As per Companies Act, certain companies are required to

    contribute toeards CSR activities. What is the quantum of contribution required?
    A At least 1% of the average net profit Correct Answer Incorrect Answer
    B At least 2% of the average net profit Correct Answer Incorrect Answer
    C At least 2.5% of the average net profit Correct Answer Incorrect Answer
    D An amount as approved by the Board Correct Answer Incorrect Answer

    Solution

    Section 135 - The Board of every company referred to in sub-section (1), shall ensure that the company spends, in every financial year, at least two per cent of the average net profits of the company made during the three immediately preceding financial years, in pursuance of its Corporate Social Responsibility Policy

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