A fixed charge generally covers all the assets of the company including future one. [Dec. 2022, 2 Marks]
Options
A
B
C
D
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Company AccountsQ-4 | Issue of DebenturesQuestion 5236 of 112
All Questions Correct Answer
✅ Option — Correct Option
All Options:
- A
- B
- C
- D
Detailed Solution & Explanation
False: Fixed charge is created on those assets which are specific (movable or immovable)
and is identifiable whereas floating charge is created on the entire class of assets and covers
both existing & future assets.
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