Quiz on LLP and Joint Ventures

LLP stands for:

• Limited Legal Partnership

• Limited Liability Partnership

• Legal Liability Partnership

• Listed Liability Partnership

LLP is governed by which act in India?

• Companies Act, 2013

• Indian Partnership Act, 1932

• LLP Act, 2008

• Business Law Act, 2010

In LLP, the liability of partners is:

• Unlimited

• Limited to the extent of their contribution

• Joint and several

• Only for losses

An LLP must have at least how many designated partners?

• One

• Two

• Three

• Five

Which of the following is a characteristic of LLP?

• Separate legal entity

• Mandatory to issue shares

• Partners' liability is unlimited

• Cannot own property

One major advantage of LLP is:

• High compliance cost

• Less legal formalities

• Cannot be dissolved

• Unlimited liability

Which of the following is a disadvantage of LLP?

• Limited liability

• Flexibility in management

• Higher transparency requirements

• Can be easily converted to a company

The document that defines mutual rights and duties of partners in LLP is:

• LLP Agreement

• Partnership Deed

• Articles of Association

• Memorandum of Understanding

LLP is required to file its annual return within how many days of the financial year-end?

• 30 days

• 45 days

• 60 days

• 90 days

Digital Signature Certificate (DSC) is required for:

• Opening a bank account

• Filing incorporation documents

• Buying insurance

• Conducting AGM