These are important revision summary notes to be studied in conjunction with the other study materials. This will save you much needed time in your studies which you can allocate to other modules. These are the kind of revision materials that helps you finish your degree quicker. It worked for me a...
Revision Summaries
Comprehensive Notes
Revision Slides
Summary of all Topics
Covered
, AUE1601
Definitions
1 Securities Any shares, debentures or other instruments, irrespective of their
form or title, issued or authorized to be issued by a profit company
2 Incorporator With respect to a company incorporated in terms of this Act,
means a person who incorporated that company, as contemplated
in section 13 ;
with respect to pre-existing company, means a person who took
the relevant actions comparable to those contemplated in section
13 to bring about the incorporation of that company
3 MOI Means the document, as amended from time to time that sets out
rights, duties and responsibilities of shareholders, directors and
others within and in relation to a company, and other matters as
contemplated in section 15
4 Public Interest Is the sum of the points allocated to certain attributes applicable
score to all companies, for example, one point is allocated to every
R1m, or part thereof, of turnover
Is used as a gauge of the interest the public at large (society)
has in the company
The company will be required to satisfy various conditions,
dependent upon its public interest, for example, a company with
the score of at least 350 points will have to be audited externally
5 Security Is a share, debenture or other instrument that is issued by the
company
6 Shares Are units into which company divides its profit
7 Resolution decision
Page 1 of 81
, 8 Rights Control rights – which relate to voting rights at meetings
Financial rights – which relate to the right to dividends and the
right to any excess upon liquidation
9 Distribution Includes payment for share buy-back; and
The payment of dividends
10 Ordinary A resolution adopted with the support of more than 50% of the
shareholders’ voting rights exercised on the resolution or a higher percentage
resolution
11 Special In the case of a company, a resolution adopted with support of at
shareholders’ least 75% of the voting rights exercised on the resolution
resolution
12 Director Is a member of the body of people that manages a company
13 Rescue Means that the company is reorganized in order to restore it to a
profitable entity and thereby avoid liquidation
TOPIC 2
INTERPRETATION, PURPOSE, APPLICATION AND FORMATION OF A
COMPANY
Relationships
Consanguinity “blood relationship” Affinity “relationship that exists due to a
valid marriage
1st degree consanguinity a husband and wife are related in the
Parents 1st degree by marriage.
Children
Page 2 of 81
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller ivann. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $11.39. You're not tied to anything after your purchase.
