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LML4806 Assignment 1 (DETAILED ANSWERS) Semester 1 2025 - DUE March 2025 R51,16
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LML4806 Assignment 1 (DETAILED ANSWERS) Semester 1 2025 - DUE March 2025

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LML4806 Assignment 1 (COMPLETE ANSWERS) Semester 1 2025 - DUE March 2025 ;100 % TRUSTED workings, Expert Solved, Explanations and Solutions. For assistance call or W.h.a.t.s.a.p.p us on ...(.+.2.5.4.7.7.9.5.4.0.1.3.2)........... The board of directors of Titans Ltd (“the company”) has determin...

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LML4806
ASSIGNMENT 1 SEMESTER 1 2025

UNIQUE NO.
DUE DATE: MARCH 2025

, LML4806


Assignment 1 Semester 1 2025


Unique Number:


Due Date: March 2025


Company Law


1. Titans Ltd: Acquisition of Its Own Issued Shares

The board of directors of Titans Ltd must comply with the following requirements under
the Companies Act 71 of 2008 to acquire its own issued shares:

1.1 Authority to Acquire Shares

Section 48(2) stipulates that a company may only acquire its own shares if the
Memorandum of Incorporation (MOI) expressly authorizes such acquisition. The
board must ensure that this authority is present in the company’s MOI.

1.2 Solvency and Liquidity Test

As per Section 48(3), the company must satisfy the solvency and liquidity test as
defined in Section 4. This requires the following:

• The company’s assets must exceed its liabilities (solvency).
• The company must be able to meet its financial obligations for the next 12
months (liquidity). The board must pass a resolution confirming that these
requirements are met.

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