LML4806
Assignment 2 Semester 1 2024
Unique Number:590092
Due Date: 15 April 2024
QUESTION 1
Business rescue refers to proceedings aimed at rehabilitating a financially distressed
company. According to Section 128(1)(b) of the Companies Act 71 of 2008, a company
is considered as financially distressed if it appears to be reasonably unlikely that the
company will be able to pay all of its debts as they become due and payable within the
immediately ensuing six months or if it appears to be reasonably likely that the company
will become insolvent within the immediately ensuing six months. The aim of business
rescue is to allow the company to continue its operations in a manner which maximizes
the likelihood of the company being rescued. In terms of Section 129 of the Companies
Act, business rescue proceedings may be commenced when the Board of Directors
resolves that the company voluntarily begin business rescue proceedings and such
resolution
DISCLAIMER & TERMShas
OFbeen
USE filed with the Companies and Intellectual Property Commission
1. Educational Aid: These study notes are designed to serve as educational aids and should not be considered as a
substitute for individual research, critical thinking, or professional guidance. Students are encouraged to
conduct their own extensive research and consult with their instructors or academic advisors for specific
assignment requirements.
2. Personal Responsibility: While every effort has been made to ensure the accuracy and reliability of the
information provided in these study notes, the seller cannot guarantee the completeness or correctness of all
the content. It is the responsibility of the buyer to verify the accuracy of the information and use their own
judgment when applying it to their assignments.
3. Academic Integrity: It is crucial for students to uphold academic integrity and adhere to their institution's
policies and guidelines regarding plagiarism, citation, and referencing. These study notes should be used as a
tool for learning and inspiration, but any direct reproduction of the content without proper acknowledgment and
citation may constitute academic misconduct.
4. Limited Liability: The seller of these study notes shall not be held liable for any direct or indirect damages,
losses, or consequences arising from the use of the notes. This includes, but is not limited to, poor grades,
academic penalties, or any other negative outcomes resulting from the application or misuse of the information
provided.
]
Assignment 2 Semester 1 2024
Unique Number:590092
Due Date: 15 April 2024
QUESTION 1
Business rescue refers to proceedings aimed at rehabilitating a financially distressed
company. According to Section 128(1)(b) of the Companies Act 71 of 2008, a company
is considered as financially distressed if it appears to be reasonably unlikely that the
company will be able to pay all of its debts as they become due and payable within the
immediately ensuing six months or if it appears to be reasonably likely that the company
will become insolvent within the immediately ensuing six months. The aim of business
rescue is to allow the company to continue its operations in a manner which maximizes
the likelihood of the company being rescued. In terms of Section 129 of the Companies
Act, business rescue proceedings may be commenced when the Board of Directors
resolves that the company voluntarily begin business rescue proceedings and such
resolution
DISCLAIMER & TERMShas
OFbeen
USE filed with the Companies and Intellectual Property Commission
1. Educational Aid: These study notes are designed to serve as educational aids and should not be considered as a
substitute for individual research, critical thinking, or professional guidance. Students are encouraged to
conduct their own extensive research and consult with their instructors or academic advisors for specific
assignment requirements.
2. Personal Responsibility: While every effort has been made to ensure the accuracy and reliability of the
information provided in these study notes, the seller cannot guarantee the completeness or correctness of all
the content. It is the responsibility of the buyer to verify the accuracy of the information and use their own
judgment when applying it to their assignments.
3. Academic Integrity: It is crucial for students to uphold academic integrity and adhere to their institution's
policies and guidelines regarding plagiarism, citation, and referencing. These study notes should be used as a
tool for learning and inspiration, but any direct reproduction of the content without proper acknowledgment and
citation may constitute academic misconduct.
4. Limited Liability: The seller of these study notes shall not be held liable for any direct or indirect damages,
losses, or consequences arising from the use of the notes. This includes, but is not limited to, poor grades,
academic penalties, or any other negative outcomes resulting from the application or misuse of the information
provided.
]
