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CORPORATE REGULATIONS AND ADMINISTRATION

Total questions: 50

Worksheet time: 23mins

Name
Class
Date
1.

The term company is defined under which sec of the Act?

a)

Sec 2 (20)

b)

Sec 4 (2)

c)

Sec 2 (4)

d)

Sec 1 (3)

2.

In which year present Companies Act comes into force?

a)

1956

b)

2013

c)

2018

d)

2020

3.

Minimum number of members required to form a public company are

a)

2

b)

5

c)

7

d)

3

4.

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

5.

The maximum number of shareholders for public company

a)

200

b)

300

c)

400

d)

Unlimited

6.

DIN stands for

a)

Director identification number

b)

Directive identification Nil

c)

Decisive information number

d)

Director information numerical

7.

The minimum number of shareholders in a private company

a)

2

b)

7

c)

50

d)

200

8.

ROC stands for

a)

Regional office certificate

b)

Registrar of Companies

c)

Region of corpus

d)

Register of companies

9.

Reserve Bank of India, Life insurance Corporation are examples of ....

a)

Statutory Company

b)

Government Company

c)

Foreign Company

d)

Chartered Company

10.

Which of the following are the feature of the private co.

a)

Restriction on transfer of shares

b)

Limitation on membership

c)

Prohibition on inviting public to subscribe for securities

d)

All of the above

11.

Maximum share capital in case of OPC cannot exceed

a)

5 lakh rupees

b)

5 crores rupees

c)

2 crores rupees

d)

50 laks rupees

12.

WHICH OF THE FOLLOWING ARE NOT THE CHARACTERISTIC OF A COMPANY?

a)

IT EXISTS ONLY UNDER THE LAW

b)

THE MEMBERS CANNOT BE SUED FOR THE DEBTS OF A COMPANY

c)

IT COMES TO AN END ON THE DEATH OF ALL ITS MEMBERS

13.

LIMITED LIABILITY MEANS LIABILITY OF A MEMBER IS LIMITED TO THE EXTENT OF NOMINAL VALUE OF (a)   HELD BY HIM.

14.

UNDER WHAT BASIS COMPANIES ARE CLASSIFIED AS PUBLIC AND PRIVATE?

a)

INCORPORATION

b)

LIABILITY

c)

OWNERSHIP

d)

MEMBERSHIP

15.

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

a)

Incorporation

b)

A franchise

c)

Liquidity

d)

Goodwill

16.

Give the full form of NCLT

(a)  

17.

The 2013 Act is divided into 29 chapters containing 470 sections.

a)

True

b)

False

18.

One person company is a type of private company

a)

True

b)

False

19.

In a company .............the liability of its members limited to such amount as the members may respectively undertake, by the memorandum, to contribute to the assets of the company in the event of its being wound-up.

a)

Limited by guarantee

b)

Limited by shares

c)

with unlimited liability

d)

None of these

20.

Demutalisation is the seperation of ownership and management.

a)

True

b)

False

21.

Only persons engaged in an activity connected with, or related to, primary produce can participate in the ownership of (a)  

22.

These companies are not-for-profit companies having charitable objectives or want to promote commerce, art, science, sports, education, research, etc.

which company?

(a)  

23.

The word Company is derived from

a)

French

b)

Latin

c)

Japan

d)

Indian

24.

The companies which are established by king and queen is known as

a)

Statutory companies

b)

Chartered companies

c)

Registered companies

d)

Government companies

25.

Subsidiary co. means a company in which the holding co.

a)

Controls the composition of Board of Directors

b)

Control more than 50% of total share capital

c)

All of the above

26.

Foreign co. is a company

a)

Registered in India

b)

Registered in India has place of business outside India

c)

Registered outside India has place of business in India

d)

None of the above

27.

Full form of CSR

a)

Corporate sustainable report

b)

COrporate social Responsibility

c)

Company sustainability record

d)

Corporate social resources

28.

Shares in the public company is freely Transferable

a)

True

b)

False

29.

Quorum in case of public company is

a)

Minimum of two members

b)

Minimum of three members

c)

Minimum of five members

d)

Maximum if five members

30.

---------- is the most popular types of companies

a)

Statutory companies

b)

Association for profit

c)

Registered companies

d)

One person company

31.

The term perpetual succession mean

a)

Going to be die

b)

Never dies

c)

Member operated only

d)

Separate property

32.

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

33.

The liability of members if company is limited by shares

a)

Unpaid value of shares

b)

Guarantee amount

c)

Unlimited liability

d)

none

34.

Property of the company belongs to

a)

Shareholders

b)

company

c)

members

d)

promoters

35.

The maximum number of shareholders for Public Company

a)

200

b)

300

c)

400

d)

Unlimited

36.

WHAT IS THE MINIMUM NUMBER OF MEMBER REQUIRED TO FORM A PUBLIC COMPANY?

a)

2

b)

4

c)

7

d)

9

37.

WHAT IS THE MAXIMUM NUMBER OF MEMBERS REQUIRED FOR FORMATION OF A PRIVATE COMPANY?

a)

100

b)

50

c)

200

d)

250

38.

According to section 464 any company or association of persons or partnership in which the number of members is more than ....... is treated as illegal association

a)

100

b)

25

c)

30

d)

50

39.

As per Section 2(6), “.............. Company”, in relation to another company, means a company in which that other company has a significant influence,

a)

Subsidiary company

b)

Small company

c)

Associate Company

d)

Holding company

40.

"significant influence” means control of at least .....per cent of total share capital, or of business decisions under an agreement.

a)

20

b)

50

c)

25

d)

75

41.

If XYZ is the holding company of PQR Ltd. then, which of the following statement is not true in this regard.

a)

XYZ Ltd. controls the composition of Board of PQR

b)

XYZ Ltd. holds more than 50% of the nominal value of the equity shares of PQR ltd.

c)

Both 1 and 2

d)

None of the above

42.

What are the limits of number of members in a Private Company?

a)

50

b)

100

c)

2

d)

200

43.

A public company must have at least————- directors whereas a private company must have at least ——————-directors.

a)

3,2

b)

2,3

c)

1,1

d)

4,1

44.

A subsidiary of a government company is also treated as a

a)

Public Company

b)

Private Company

c)

Government Company

d)

None of the above

45.

Which of the following company is incorporated in a country outside India?

a)

Government Company

b)

OPC

c)

Producer Comapny

d)

Foreign Company

46.

Which of the following statement is false?

a)

The shareholders of a company have limited liability.

b)

No legal formality is required to form a company.

c)

A company is managed by the elected representatives of shareholders.

d)

A company can own property in its own name.

47.

A and B were the only members of a company who died in a road accident. In this case, the company comes to end on the death of A and B.

a)

True

b)

False

48.

A statutory company or corporation is one which is incorporated

a)

By an Act of Parliament

b)

By an Act of State Legislature

c)

By the Companies Act 2013

d)

either by 1 or 2

49.

A Government Company is one in which 51% or more of the paid up share capital is held b

a)

Central Government only

b)

State Government only

c)

Both Central and State Government

d)

Any of the above

50.

Which of the following is not the characteristic of a public company?

a)

Seperate Legal Entity

b)

Common Seal and seperate property

c)

Perpectual Succession

d)

Non Transferability of Shares