Which companies are exempted to add “Ltd” or “Pvt Ltd” at the end of their name
(a) Private
(b) Govt
(c) Defunct
(d) Association not for profits
In case of Public Company the quorum should be
(a) 5 members
(b) 7 members
(c) 2 members
Deposits should issued with in ___ weeks from the date of receipt of money.
(a) 2
(b) 4
(c) 6
(d) 8
_____ declares a company as a sick company.
(a) B.I.F.R
(b) M.R.T.P
(c) FERA
The companies which are formed under companies Act. 1956. They will be called as
(a) Chartered companies
(b) Statutory companies
(c) Registered companies
___ is the charter of a company.
(a) Memorandum
(b) Articles
In which one of the following cases an ordinary resolution may be passed ___
(a) Commencement of a new business
(b) alteration of articles
(c) Compulsory winding up of the company
A company can change its name at its own discretion by passing _____
(a) Ordinary resolution
(b) Special resolution
(c) Boards resolution
Public company can allot shares without receiving minimum subscription?
(a) Yes
(b) No
Pre-incorporation contract is also known as __
(a) Provisional
(b) Preliminary
(c) illegal
(d) legal
For every special resolution passed the form attached should be
(a) Form no.32
(b) Form no. 18
(c) Form no.23
A company can create ‘reserve capital’ by passing _______
(a) an ordinary resolution
(b) a special resolution
(c) a board resolution
Which one or more of the following resolution need not be filed with the registrar
(a) Special resolution
(b) A resolution of Board relating to appointment of a managing director
(c) A resolution approving the appointment of a sole selling agent
(d) An ordinary resolution
The minimum application money should be _____ of nominal value.
(a) 5%
(b) 3%
(c) 2%
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If minimum subscription is not received application money should be refunded with in ____ days
(a) 20
(b) 25
(c) 30
(d) 10
In which one or more of the following company a member does not have a right to appoint proxy:
(a) Public company having share capital
(b) Public company not having share capital
(c) Private company not having a share capital
Private Company need not issue prospectus
(a) Yes
(b) No
Information memorandum + shelf prospectus together constitutes_____
(a) Memorandum
(b) Articles
(c) Prospectus
Private company can allot shares without receiving minimum subscription?
(a) Yes
(b) No
___ report is send by the directors to its members.
(a) Statutory
(b) Audit
(c) Annual
In the event of appointing a proxy joint holders shall sign the proxy form
(a) Singularly
(b) Jointly
A poll can be demanded by any member present in person or by proxy if he has voting powers at least equal to:
(a) 1/5 th
(b) 1/10 th
(c) 1/20 th
(d) 1/30 th
Balance in securities premium A/c should be utilized for declaring dividends.
(a) Yes
(b) No
Advance received against orders for the supply of goods or selling of properties will be treated as deposits.
(a) Yes
(b) No
In which of the following stamp duty & consideration not necessary ____
(a) Transfer
(b) Transmission
The companies which are formed under special Act. Those companies are called as
(a) Chartered companies
(b) Registered companies
(c) Statutory companies
In case of alternation of AOA to deletion or insertion of provisions defining private company shall be passed by resolution through postal ballot.
(a) Yes
(b) No
____ prospectus were issued in order to test the market before finalizing issue size/ price.
(a) Deemed
(b) Shelf
(c) Red herring
For changing name of a company Central Govt. permission must be taken
(a) Yes
(b) No
Minimum number of members in case of private company is
(a) 1
(b) 2
(c) 3
(d) 4
In the case of partnership firm. Audit is
(a) Compulsory
(b) Optional
Alteration of articles must be done only by passing
(a) Special resolution
(b) Ordinary resolution
Maximum no. of members in case of public company is
(a) 0
(b) unlimited
(c) 50
(d) 100
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The liability of members if company is limited by guarantee.
(a) Unpaid value of shares
(b) Guarantee amount
(c) Unlimited liability
Which one of the following has a right to claim compensation for any loss due to mis-statement in prospectus
(a) Purchasing shares in Primary Market
(b) Secondary Market
(c) Subscribers to memo
(d) All the above
Because of Misrepresentation in prospectus an expert will be criminally liable.
(a) Yes
(b) No
Ultra vires means
(a) Beyond the power
(b) with in the power
Extension of time limit is possible only in which of the following?
(a) Shares
(b) Debentures
A special resolution is passed with
(a) Simple majority
(b) 60% majority of members present
(c) 75% majority of members present
The liability of members if company is limited by shares
(a) Unpaid value of shares
(b) Guarantee amount
(c) Unlimited liability
Minimum subscription should be received within ____ days
(a) 120
(b) 125
(c) 130
(d) 135
Calls in advance have voting rights
(a) Yes
(b) No
In case of a company going for public issue premium can be declared by BOD.
(a) Yes
(b) No
When a private company is converted into public company. In which form it should be?
(a) Schedule III
(b) Schedule IV
(c) Schedule VI
If the permission has not been granted or not applied for permission for listing through stock exchange. The allotment of shares will be void in case of public company
(a) Yes
(b) No
When there is any untrue statement in the prospectus. The shareholder who was A subscriber to the memorandum can sue the company
(a) Yes
(b) No
Amount received by a company from another company will not be treated as deposit.
(a) Yes
(b) No
Forfeiture can be made only if it is authorized by ______
(a) AOA
(b) MOA
(c) ROC
(d) C.G
Generally rights and obligations of the Partnership firm are regulated in
(a) A.O.A
(b) M.O.A
(c) Partnership deed
Name of the member is struck off from the register in case of____________
(a) Issue of share certificate
(b) Share warrant
(c) Forfeiture
If the company has not received permission for listing from stock exchange and repayment of amount delayed by more than 8 days the minimum interest should be paid is
(a) 4%
(b) 3%
(c) 2%
Where the registrar strikes off the register the name of a company as a defunct one, the court has the power to order restoration of name with in:
(a) 5 years
(b) 7 years
(c) 10 years
(d) 20 years
A company can become a members of another company if it is so authorized by______
(a) MOA
(b) AOA
Validity period of information memorandum is___________
(a) 1 year
(b) 2 years
(c) 3 years
(d) 4 years
In case of default with regards to deposits intimation to NCLT should be made with how many
days.
(a) 10
(b) 20
(c) 30
(d) 40
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Liability of a member in case of a private company is
(a) Limited
(b) Unlimited
Generally Company liability is
(a) Limited
(b) Unlimited
(c) Situation does not arise
The person to whom the rights and duties are endorsed is called ______________
(a) Transferee
(b) Transferor
(c) Endorser
(d) Endorsee
Can private company go for public issue?
(a) Yes
(b) No
Can a company sign on behalf of a person in memorandum and articles
(a) Yes
(b) No
X, is a director of X Company and X is also a director of Y Company this means X Co. and Y Co. both are same
(a) True
(b) False
A body corporate appointed a person as a proxy he will be counted for quorum or not
(a) Counted
(b) Not counted
Members of a company can enter contract with the company
(a) True
(b) False
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Can a Minor be a subscriber
(a) Yes
(b) No
Can private company accept deposits from the public?
(a) Yes
(b) No
Generally partnership firm liability is
(a) Limited
(b) Unlimited
(c) Situation does not arise
Which of the following authorities is empowered to extent time for registration of charges _____ ?
(a) C.G
(b) Company law board
(c) Court
(d) NCLT
Central Government permission is required in case of_____ conversion____
(a) Private to public
(b) Public to private
How many members should sign the MOA in case of private company_____________
(a) 1
(b) 2
(c) 3
(d) 4
In case minimum subscription is not received and refund is delayed____ % of interest to be paid by the company.
(a) 5
(b) 6
(c) 7
(d) 8
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Paying back of capital is called
(a) Redemption
(b) Conversion
(c) Participation
Proxies cannot vote on_________
(a) Show of hands
(b) Poll
Share holders are
(a) Owners
(b) Creditors
(c) Debtors
Partners are ___ of the firm
(a) Owners
(b) Employers
(c) Agents
Minimum number of members in case of public company
(a) 1
(b) 2
(c) 5
(d) 7
What is the ceiling imposed by the government on company on any deposits?
(a) 10
(b) 25
(c) 35
(d) 5
Audit of a public company will be counted for the limit of audits
(a) Yes
(b) No
Failure to comply with the order of NCLT is punishable with an imprisonment upto ___ years.
(a) 1
(b) 2
(c) 3
(d) 4
Related: parts of a Computer questions and answers
Part of the issued capital taken by public is called______
(a) Subscribed
(b) Called – up capital
(c) Un called capital
(d) Paid up capital
Maximum no. of persons in case of partnership banking business ___________
(a) 10
(b) 20
(c) 30
(d) 5
For quorum the Joint holders will be collectively counted as ___ members.
(a) 1
(b) 2
(c) 3
(d) 4
Minimum no. of Directors in case of private company is __________
(a) 1
(b) 2
(c) 3
(d) 4
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If the company failed to refund application money with in 130 days from the date of issue of
prospectus on non-receipt of minimum subscription who will be personally liable.
(a) Company
(b) Directors
(c) Shareholders
Can the partners enter into the contract with the firm?
(a) Yes
(b) No
X Company is holding majority of shares in Y company. Will X and Y companies will be the same.
(a) Yes
(b) No
A company is named as govt. company if it is holds_________ % of paid up share capital
(a) more than 30
(b) more than 40
(c) more than 50
Contribution shall be made by the employer is ____________ of basic wages and D.A allowance and retaining
(a) 12%
(b) 10%
(c) 15%
Related: Quantitative Aptitude Questions
In addition to the contribution employer has to pay ____ % of wages as inspection charges
(a) 0.19%
(b) 0.18%
(c) 0.17%
_______ % of shares should be held by a company in another company so as to become subsidiary
(a) more than 50
(b) more than 40
(c) more than 30
(d) more than 20
Part of authorized capital which is offered by the company for subscription.
(a) subscribed
(b) Issued
(c) Un called
(d) called up
In case of Non -Profit making Companies books of accounts are required to be preserved for _____ years
(a) 2
(b) 4
(c) 6
(d) 8
Accepting of deposits from public in case of private company is
(a) Prohibited
(b) Restricted
(c) Acceptable
XYZ Co, is having 10% share capital held by another Public Company and 35% held by Central
Government and 55% held by people then that Company is
(a) Government Company
(b) Private Company
(c) Public Company
XYZ Co, is having 15% share capital held by X Company and 50% held by Central Government and 10% held by State Government and 25% held by other people then that company will be
(a) Government Company
(b) Private Company
(c) Public Company
If the employer is a partnership firm deduction will be allowed under 3 rd schedule is while determining available surplus ____ % of the capital invested
(a) 8.5%
(b) 7.5%
(c) 6%
Sec.25 Companies should pay stamp duty for registering MOA and AOA.
(a) Yes
(b) No
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XYZ Co. is a holding of XZ Pvt. Company. XZ Co. issued deferred shares. The issue is valid or void
(a) Valid
(b) Void
(c) Situation does not arise
Stamp duty on registration of the company is payable based on____________ capital.
(a) Nominal
(b) Authorized
____ are the shares issued by the company to it employees or directors for consideration other than cash
(a) Bonus
(b) Sweat
(c) Right
The Provident Fund Scheme is mandatory to employer but not mandatory to employee. Do you agree with this statement?
(a) Agree
(b) Disagree
________ resolution should be passed by the company to offer shares to outsiders
(a) Special resolution
(b) Ordinary resolution
(c) C.G
For reducing its share capital it should give notice to whom?
(a) Debtors
(b) Creditors
NCLT came into force instead of company Law Board from
(a) June 4 th
(b) May 4 th
(c) June 5 th
How many members should sign the MOA in case of public company________
(a) 1
(b) 3
(c) 5
(d) 7
Related: Payment of Bonus Act Practice Questions / Answers
Private company can start business only after getting certificate of
(a) Incorporation
(b) Commencement of business
The doctrine of indoor management is an_________ to the doctrine of constructive notice
(a) Exception
(b) Extension
(c) Alternative
In how many days did the company have its registered office after incorporation
(a) 10
(b) 20
(c) 30
(d) 40
Related: Food trivia questions
Signature of memorandum and articles should be done by ______ number of persons in case of public company
(a) 7
(b) 5
(c) 4
MOA should be in form_______ in case of company limited by guarantee not having share
capital
(a) Table A
(b) Table B
(c) Table C
(d) Table D
In case of any default is made in filing the particulars related to charge then penalty is upto ____ thousands
(a) 5 to 10
(b) 10 to 15
(c) 15 to 20
In the MOA there are 6 classes. We can alter all clauses expect one clause. What is that clause?
(a) Objects clause
(b) Name clause
(c) Association clause
What is the maximum period for redemption in case of preference shares issued by the company
(a) 10 years
(b) 15 years
(c) 20 years
If any body wants to file a case against the company they should file at what place _____
(a) Company
(b) Registered Office
(c) BOD
(d) Books of accounts
A copy of the contents of statutory report should be sent to Registrar also
(a) Yes
(b) No
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__conceives the idea of the business
(a) Promoters
(b) Directors
(c) Auditors
When there is a untrue statement in a prospectus who can sue
(a) Subscribed in primary market
(b) Subscribed in secondary market
(c) Rights issue
Voting right can’t be exercised in case of___
(a) Calls in advance
(b) Calls in arrears
Voting Rights are available to share certificate holders.
(a) Yes
(b) No
Return of partly paid shares by the shareholders to the company is ________
(a) Surrender
(b) Forfeiture
(c) Lien
The doctrine of indoor management is an *exception* to the doctrine of constructive notice….please correct the answer
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Very helpful
It’s indeed helpful
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It’s indeed helpful
Thanks a lot
It is very beneficial to crack the exam.
It’s really nice