Question

Interest on Calls-in-arrears is ________ for the company. (Fill in the blank by choosing correct option)
(a) income
(b) expenditure
(c) gain
(d) loss

Answer 1

c) gain
I hope my answer help to u and right

Answer 2

Answer:

(a) income

Explanation:

Interest on Calls-in-arrears is income for the company.

According to the Articles clauses, the interest on calls-in-arrears can be recovered from the defaulters. But if the articles are silent, a rate of 5% p.a. on the amount of Calls-in-arrears will be applicable. The directors, however, have the right to waive interest payments on calls-in-arrears.