What is the usual purpose of a company’s annual return?
Correct answer: A. To report updated corporate information
- A. To report updated corporate information
- B. To obtain a bank loan
- C. To appoint the external auditor
- D. To replace the company constitution
Explanation
An annual return provides the registrar with current information about matters such as members, directors and share capital. It is a statutory filing, not a financing application or a replacement for the constitution.
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About Company Law Basics
Company law covers incorporation, separate legal personality, limited liability, shares, the memorandum and articles of association, and the powers and duties of directors. It also includes shareholder meetings, resolutions, company records, audit, winding up and the differences between a registered company, partnership and sole proprietorship.
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