Question

What action should an Indian company take if it wants to raise its FII investment limit from 24% to the sectoral cap/statutory ceiling?

a.

File a case with SEBI

b.

Inform the Finance Ministry

c.

Pass a resolution by its Board of Directors and a Special Resolution by their General Body

d.

Seek permission from the Ministry of Corporate Affairs

Answer: (c).Pass a resolution by its Board of Directors and a Special Resolution by their General Body Explanation:An Indian company can raise up to 24% to the sectoral cap/statutory ceiling by passing a resolution by its Board of Directors followed by passing a Special Resolution to that effect by their General Body.

Interact with the Community - Share Your Thoughts

Uncertain About the Answer? Seek Clarification Here.

Understand the Explanation? Include it Here.

Q. What action should an Indian company take if it wants to raise its FII investment limit from 24% to the sectoral cap/statutory ceiling?

Similar Questions

Explore Relevant Multiple Choice Questions (MCQs)

Q. What is the purpose of informing the Reserve Bank of India (RBI) when an Indian company raises the aggregate cap for FII investment?

Q. What does the Balance of Payment (BOP) account measure?

Q. What are the two broad categories into which transactions in the Balance of Payment (BOP) account are classified?

Q. According to the IMF's definition, what does the Balance of Payments (BoP) statement show for a given period?

Q. What are the principles and concepts that countries need to follow while compiling their BoP data?

Q. How does the IMF define economic transactions for the purpose of recording them in the Balance of Payments (BoP)?

Q. What is the significance of the double-entry bookkeeping system in the context of Balance of Payments (BoP) compilation?

Q. Suppose X has a FCNR deposit in USD with SBI, and he transfers it to Bank of India. How is this transaction recorded in the Balance of Payments (BoP)?

Q. What are transfer payments in the context of Balance of Payments (BoP)?

Q. What is the recommended basis for valuing transactions entering the Balance of Payments (BoP) account, according to the IMF manual?

Q. How are both imports and exports valued in the Balance of Payments (BoP) according to the IMF manual?

Q. In the Balance of Payments (BoP) accounting system, how many aspects does every transaction have?

Q. What is the logic behind the double-entry bookkeeping system in the BoP accounting?

Q. How is the balance maintained in the Balance of Payments (BoP) accounting?

Q. How are credit transactions recorded in the BoP accounting?

Q. What is the impact on the BoP account when a country exports goods to another country?

Q. How does the BoP account represent imports in terms of currency flow?

Q. What are the three main components of the Balance of Payments (BOP) account?

Q. What transactions are recorded in the Current Account of the BOP?

Q. Where are transactions resulting in changes in foreign assets and liabilities recorded in the BOP?

Recommended Subjects

Are you eager to expand your knowledge beyond IC 89 Management Accounting? We've handpicked a range of related categories that you might find intriguing.

Click on the categories below to discover a wealth of MCQs and enrich your understanding of various subjects. Happy exploring!