Question on: WAEC Accounting - 2016
A loan to a company under the company's seal is
A
Fixed deposit
B
Mortgage
C
Bond
D
Debenture
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Correct Option: B
Some common uses of company seals include:
– Company resolutions
– Important Contracts and Deeds
– Property transfer (landed in most cases) and execution of land contracts.
– Execution of loan documents, mortgages, and guarantees.
– Occasions where a document will be utilized outside the country.
In this case a loan to a company under the company seal is a mortgage
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