Question

Given below are two statements:
Statement I: In case of Amalgamation in nature of merger, all the assets and liabilities of the transferor company become, after the amalgamation, the assets and liabilities of the transferee company.
Statement II: In case of Amalgamation, in nature of merger, purchase consideration may be paid by the transferee company in the form of preference shares for the equity shareholders of the transferor company.
In the light of the above statements, choose the correct answer from the options given below

• A. Both Statement I and Statement II are true
• B. Both Statement I and Statement II are false
• C. Statement I is true but Statement II is false
• D. Statement I is false but Statement II is true

Answer 1

The Correct Option is C

The correct option is (C):Statement I is true but Statement II is false