Asked by Tyson Fisher on Jul 16, 2024
Verified
A voluntary winding up may be put in place by either:
A) the company's members or creditors.
B) the company's directors or creditors.
C) ASIC or the company's members.
D) ASIC or the company's creditors.
Voluntary Winding Up
A process initiated by a company's shareholders to dissolve the company in an orderly manner, liquidating assets to pay creditors and distributing any remaining assets.
Company's Members
Individuals or entities that have an ownership interest in a corporation, commonly referred to as shareholders or stockholders.
ASIC
The Australian Securities and Investments Commission; an independent Australian government body that acts as the corporate regulator.
- Recognize different types of liquidation and the parties that can initiate them.
Verified Answer
JD
jaklin dahbarJul 21, 2024
Final Answer :
A
Explanation :
A voluntary winding up may be initiated by the company's members or creditors. The other options are incorrect as directors cannot initiate a voluntary winding up without the approval of the members and ASIC does not have the power to initiate a voluntary winding up.
Learning Objectives
- Recognize different types of liquidation and the parties that can initiate them.