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WorksheetsCompany Law
Total questions: 43
Worksheet time: 16mins
The term perpetual succession mean
Going to be die
Never dies
Member operated only
Separate property
The process of forming a company including where it becomes a legal entity is known as ______.
Incorporation
A franchise
Liquidity
Goodwill
Who takes full legal responsibility in a company limited by shares?
The shareholders
The owners
The directors
The government
Sally has been appointed as the secretary company of MNA Sdn Bhd. One of the director of the company who is known as Mr Logic had suggested to the board of director to allocate pension for his wife upon his death. Which of the law below is related to his act as the director of the company?
acting in a good fiduciary duty
has conflict interest because acting for his personal interest
has acting in a good faith, position of trust
acting based on his skills, knowledge and judgment
Below are the situation that falls under Judicial veil of lifting EXCEPT:-
Perpetration of Fraud
Tax avoidance
Evasion of obligation
Section 131 of the Act 2016
What is company's constitution?
internal management document of the company
it is a guideline
Certified Form or Certified document
company financial account
Who is officer of the company?
Explain in Section 2 of the Companies Act 2016
Define in Salomon's case
takeover
liquidator appoint in involuntary winding up
Salwa as director never received any copies of Financial Account of the company. She complain this matter to the board. Advise Sarah.
Sarah has a right to received document of financial account
Sarah doesn't has right to received Financial Account because she only a director not an accountant of the company
A business organization where the owners are personally responsible for the business debts a(n)
C Corporation
LLC
Partnership
Sole proprietorship
A business run by one person is a(n)
Corporation
LLC
Sole proprietorship
Partnership
Which are the partners who share profits and losses
Active partner
Sleeping partner
Secret partner
Partner by estoppel
Liability of partners is unlimited in case of general partnership whereas it is limited in
case of Limited Liability Partnership.
True
False
None of the above
A company wants to computerize its accounting system. It issues stocks to raise additional funds.
Sole Proprietorship
Partnership
Corporation
2. Mario and his brother Luigi started a plumbing company together. They split the profits and the expenses.
Sole Proprietorship
Partnership
Corporation
3. Mary opened a dance studio. She receives all the profits from her students’ lessons.
Sole Proprietorship
Partnership
Corporation
Mr. Lewis pays taxes on dividends for stocks he owns in a manufacturing company. The company also pays taxes on its income before distributing it to stockholders.
Sole Proprietorship
Partnership
Corporation
Dan, Tony, and Mac own a pizza parlor. They rotate hours and days off.
Sole Proprietorship
Partnership
Corporation
Mr. Wells owns a card shop. Because baseball cards have declined in popularity his business is struggling. He decides he has to sell his house to pay off his business debts.
Sole Proprietorship
Partnership
Corporation
Unger and Unger is a law firm consisting of two brothers who started their own business. They both are responsible for all profits and risks that their firm will have.
Sole Proprietorship
Partnership
Corporation
8. A person who takes a risk to produce goods and services in search of a profit is an entrepreneur. In which kind of business structure may entrepreneurs establish a business?
Partnerships and Corporations
Sole Proprietorships, Partnerships, and Corporations
Only Corporations
Sole Proprietorships and Corporations
9. What type of business is described in the diagram below?
Sole Proprietorships
Partnerships
Corporation
Who is the head and brain of the company?
Shareholders
Employees
Directors
Stakeholders
1. The term ‘ultra vires’ means------------------
with the power
Beyond the power
Directors power
Shareholders power
Property of the company belongs to
Shareholders
company
members
promoters
In Malaysia, the main legislation that govern companies is
Companies Act 1965
Companies Act 2016
Companies Ordinan 2016
Companies Ordinan 1965
Sole proprietorship is
one person only
2-20 persons
unlimited
2-50 persons
Partnership are governed under the
Partners Act 1961
Partnership Act 1991
Partnership Act 1961
Partners Act 1991
A legal entity separate from its members is for
Sole Proprietorship
Company
Liability Limited Partnership
Partnership
The state of not being able to pay one's debts or having an excess of liabilities over assets.
insolvent
bankrupt
liquidation
winding-up
The procedure whereby the assets of a company are gathered in and realized, the liabilities met and the surplus, if any, distributed to members.
insolvent
winding-up
liquidator
bankruptcy
The placing of a company into liquidation as a result of an application to the court, usually by a creditor.
bankruptcy
insolvency
compulsory liquidation
winding-up
Paul is a creditor of Jar King Berhad (JK). On 1 May, Paul filed a petition in court for the winding up of JK. Paul served the petition to JK on 30 May. The court heard the petition on 15 September. The winding up order of JK was made by the court on 2 October.
On which of the following dates is the winding up of the company deemed to have commenced?
2 October
15 September
30 May
1 May
Who may petition the court for an order to wind up a company?
The government
The customer
The company
Any member of the public
When does a compulsory winding up of a company commence?
At the time of the presentation of the petition
At the time of the passing of the board resolution
At the time stipulated in the petition
At the time the court order is made
Which of the following are circumstances by which a company may be wound up by the court?
I. The company has by an ordinary resolution resolved that the company is to be wound up
II. The company is being used for unlawful purposes
III. The court is of the opinion that it is just and equitable for the company to be wound up
IV. The company does not commence its business within six months of its incorporation
I, II and III only
II and III only
I, II and IV only
I, III and IV only
Which of the following are linked to the deregistration of a company?
I. Striking off process
II. Compulsory winding up of a company
III. An action that brings a company’s existence to an end
IV. An action that results in a company’s name being taken off the Register of Companies
I, II and III only
II and III only
I, II and IV only
I, III and IV only
The following are the characteristics of a Voluntary Winding Up EXCEPT
Takes place when the company is insolvent
The liquidator is appointed by the members
Members voluntary winding up (MVWU)
Creditors voluntary winding up (CVWU)
