Explanation:
Fictitious assets (e.g., preliminary expenses, debit balance of P&L) are not true assets; they are unamortized expenses/losses with zero resale value.
Under the Companies Act 2013, the 'Independent Directors' must hold a special training. If an independent director fails to attend the training, what is the consequence?
A.He is fined ₹50,000
B.No consequence, as training is optional
C.He is automatically removed from the board
D.His appointment is rendered void, and he cannot be appointed as an independent director
Explanation:
As per the Companies (Appointment and Qualification of Directors) Rules, if a person selected as an independent director fails to undergo the prescribed training, their appointment becomes void, and they are ineligible for appointment as an independent director.
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