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Company law introduction

Total questions: 12

Worksheet time: 5mins

Name
Class
Date
1.

In which year present Companies Act comes into force?

a)

1956

b)

2013

c)

2018

d)

2020

2.

Minimum number of members required to form a public company are

a)

2

b)

5

c)

7

d)

3

3.

Saloman was carried which kind of business?

a)

cloths

b)

Boot

c)

Chocolate

d)

Mobile

4.

The term perpetual succession mean

a)

Going to be die

b)

Never dies

c)

Member operated only

d)

Separate property

5.

Shares in private company ______

a)

never transferable

b)

can be transfer with approval of other members

c)

Freely transferable

d)

Transfer by company law Board only

6.

The common seal of the company

a)

Is mandatory for all the companies

b)

It is mandatoryFor Public Co. only

c)

It is mandatory for Pvt. Co. Only

d)

It is optional W.E.F 29/05/15

7.

Tick all the demerits of a company from the followinig.

a)

Formalities

b)

More tax burden

c)

Limited liability

d)

Possibility of fraud

8.

Company can be a citizen of country?

a)

True

b)

False

c)

Partially true

d)

Partially false

9.

Audit of accounts are compulsory in case of comapnies.

a)

False

b)

Partially false

c)

True

d)

Partially true

10.

The process of forming a company including where it becomes a legal entity is known as ______.

a)

Incorporation

b)

A franchise

c)

Liquidity

d)

Goodwill

11.

DIN stands for

a)

Director identification number

b)

Directive identification Nil

c)

Decisive information number

d)

Director information numerical

12.

The maximum number of shareholders for public company

a)

200

b)

300

c)

400

d)

Unlimited