• debenture
    of the creation of a charge in order for the charge to be valid. On insolvency, the creditor holding a fixed charge takes priority over those in possession of a floating charge on the company’s assets. It seems that despite the differences between floating charges and fixed charges outlined by...
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  • Floating Charge
    floating or fixed charge. The foundation of establishing differences between the above charges is the Yorkshire Woolcombers case where Romer LJ delivered his speech in defining a floating charge which depended on three criteria: 1) if the charge on a class of assets of a company present and...
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  • Nokia
    are properly registered. ( Insurance; arrange adequate insurance cover, give notice of the bank's interest to the insurance company and obtain acknowledgement. TEST YOUR KNOWLEDGE - QUESTIONS 1. What is a debenture? 2. List the differences between a fixed and a floating charge. 3. Is...
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  • Pari Passu
    present and in the future. E.g. stock. * Debtor company has assets that fluctuate from day to day like stock and book debts (money owed to the company by its debtors). * Level of control a creditor obtains on a fixed charge is higher as opposed to a floating charge so the company is permitted to...
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  • Company Law Exam with Answers
    differ from a fixed charge? When does a floating charge become fixed? (8mks). ANSWER - Floating charge is a charge that covers over all the assets of a company. It is a particular type of security, available only to companies. It is an equitable charge on (usually) all the company's assets both...
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  • Personalty and Security
    seems to imply that virtually all possibilities in between = floating * Simply if there is power to make item by item substitution = not fixed charge. Expenses of liquidator * It is a basic principle in insolvency proceedings that expenses of liquidation are not payable out of assets which...
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  • Mortgage
    speak floating with the property which it is intended to effect until some event occurs or some act is done which causes it to settle and fasten on the subject of the charge within its reach and grasp.37 What that statement does not encapsulate, perhaps, is the acid test for the distinction between...
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  • Company Law
    main types of charges. • Fixed chargeFloating charge Fixed charge Fixed charge is a form of charge that once assets are subject to fixed charge; it cannot be sold by the company without the consent of the creditor. It is commonly granted over large items of the equipment and company...
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  • Student
    B.F. Goodrich Notes November 17, 2009 * Even though rabobank needs floating rate financing, and B.F. needs fixed rate financing, they will do the opposite. * RB will go in fixed and BF will go in floating, then they will do a swap * In the international markets, this explains why...
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  • Study
     meant by Transmission of shares? (03) d) What is irregular allotment? (02) Q.4 a) What are the types of mortgages and charges, which if not registered, are void? (06) b) Differentiate between fixed and floating charge. (06) c) What is the time limit for registration of mortgage or charge and...
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  • euro curency market
    Currency Concept Creation Growth Features Functions The Euro markets Attraction Drawbacks Difference between Domestic & Euro Currency markets Difference between Eurobonds & Eurocurrency loans. WHAT IS EURO-CURRENCY?: WHAT IS EURO-CURRENCY? Euro-currency is any currency banked outside its country...
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  • Finance
    issue of equity shares would result in an immediate and significant drop in earnings per share. What are the different forms of security?   Fixed charge Floating charge What is a fixed charge security? Fixed charge security is security that relates to specific asset or group of assets. Companies...
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  • Company Law
    appoint an administrative receiver). • A floating charge is a qualifying floating charge if it is expressed to be one, or if the security document purports to give the holder power to appoint an administrator or administrative receiver. Q2a) The difference between voluntary and compulsory...
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  • bank 301
    to a P-note issue. (b) What are the main differences between P-notes and commercial bills of exchange? A promissory note, which typically has a maturity of 90 days, is described as ‘an unconditional promise in writing made by one person to another, signed by the maker engaging to pay, on demand...
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  • Lae (Section)
    a floating charge [ as opposed to share capital –the amount of money or assets contributed by its member when they subscribe for shares in the company] Differences between share capital (equity) and debt finance :- | | debts...
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  • international trade
    complete control over the purchase and sale of foreign exchange. There are two different rates are fixed for buying and selling currencies. Obviously selling rate is slightly higher than the buying rate. The difference between the two rates would be the profit margin gained in foreign exchange...
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  • Project on Comparison on Home Loan
    whether fixed rate home loan are actually ‘fixed rate’. When considering a fixed rate home loan over floating rate of home loan a strong selling point is that if interest rate were to rise dramatically you will be protected. Apparently the reality is some what different. It seems that companies that...
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  • Haider
    , debenture holders rank ‘pari passu inter se‘ • Security / the charge may be fixed or floating • To be valid, the charge must be registered within 21 days of its creation • If there are 2 charges over the same property, a fixed charge will take precedence over a floating charge...
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  • Finance chapter answers
    difference between a debenture and an unsecured note is the form of security attached to the bond B: debentures are secured by a fixed charge and/or a floating charge over assets of the issuer C*: a fixed charge can apply to assets of any type D: a fixed charge can apply only to ‘permanent’ assets...
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  • debenture & bonds
    company. 6. It is generally secured by a charge, fixed or floating on any part of the company’s property or undertaking. But this is, however, not an essential condition because section 2(12) provides that the debentures may or may not constitute a charge on the assets of the company. TYPES...
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