Quiznetik

Regulatory Framework for Companies | Set 2

1. who among the following has no right to speak at the AGM?

Correct : C. proxy holders.

2. Voting in a company Meeting can be through.

Correct : D. all of these.

3. Which document should be annexed to the notice of the statutory meeting?

Correct : D. both (a) and (b).

4. The first Chairman is generally.

Correct : C. named in the article.

5. East India Company is an example of.

Correct : C. chartered company.

6. Where there is a non-executive chairman, at least …..of board should comprise of independent directors.

Correct : A. 1/3

7. The Whistle Blower Policy was recommended by…………….

Correct : A. n.r.narayana moorthy

8. Audit Committee shall meet at least ………..times a year

Correct : C. 4

9. A public company is one which has a minimum paid up capital Rs...lakhs.

Correct : B. 5

10. A private company is one which has a minimum paid up capital Rs…….lakhs.

Correct : A. 1

11. The contracts signed by the promoters of a company continue to be the liability of ……….

Correct : A. promoters

12. A promoter of a company stands in the position of …….to future allottees of shares.

Correct : B. fiduciary

13. ……persons shall subscribe to the memorandum of a public company.

Correct : A. 7

14. The altered memorandum must be filed with the registrar within ………….months.

Correct : B. three months

15. An act which is to be ultra vires a company is……………

Correct : C. void

16. A company issues prospectus within………….of its registration.

Correct : C. 60 days

17. The altered memorandum must be filed with the registrar within……….

Correct : B. three months

18. The statement in lieu of prospectus must be filed with the registrar at least ………before any allotment of shares is made.

Correct : B. three days

19. Notice of the registered office of the company shall be given to the registrar of companies within…………

Correct : A. 30 days

20. The judgement in the case of Foss Vs Hurbottle lays down the principle of ……

Correct : A. rule of majority

21. All those who are dealing with the company are expected to know the contents of the memorandum and articles. This doctrine is called……………………..

Correct : B. constructive notice

22. The famous case of Royal British Bank Vs Turquand laid down the rule of………….

Correct : C. indoor management

23. The new section 60A relates to…………

Correct : D. shelf prospectus

24. The office of the director becomes vacant if he fails to obtain his qualification shares within …………..months.

Correct : C. 2

25. The management of every company is controlled by ………………..

Correct : C. director

26. As per Sec.274, a person shall not be appointed as director if he is found to be of unsound mind by………

Correct : B. a court of competent jurisdiction

27. As per Sec 260, the additional directors are entitled to hold office only upto next ………… meeting

Correct : B. annual general

28. A director who is interested in any transaction of the company is bound to disclose his interest to………

Correct : D. board of directors

29. Any breach of duty in the conduct of the company’s affairs which causes loses to the company is called

Correct : A. misfeasance

30. According to sec 297, a director shall not enter into any contract with the company except with the consent of ……..

Correct : D. board of directors

31. When a director does an act which is in excess of his powers and company suffers a loss … is liable to make good the loss

Correct : C. director

32. Unless the articles provide for the retirement of all directors at every annual general meeting, at least ………of the total number of directors retire by rotation.

Correct : B. 2/3

33. The new Sec 60B introduced by the Companies (Amendment)Act 2000 is related to……..

Correct : D. information memorandum

34. The alteration of the objects of a company must be confirmed by the Company law……..

Correct : C. tribunal

35. Which of the following statements are true -

Correct : C. every company should have its own articles

36. Doctrine of indoor management is an exception to the principle of …….

Correct : B. constructive notice

37. A company can change its name by passing ……….resolution.

Correct : A. special

38. The Companies (Amendment) Act 1988 provide that the companies should furnish along with the application form for shares or debentures, an………….instead of complete prospectus.

Correct : C. abridged prospectus

39. ………….means a prospectus issued by any financial institution or bank for one or more issues of the securities specified in that document.

Correct : A. shelf prospectus

40. ……….. gives only a general idea about securities.

Correct : B. red herring prospectus

41. The main advantage of …………. is that company can save underwriting expenses.

Correct : D. deemed prospectus

42. Prospectus by implication is also known as….

Correct : D. deemed prospectus

43. Not less than ……. Days notice for a general meeting of a company must be given.

Correct : C. 21

44. The minimum number of members that must be present at a valid meeting is called………

Correct : B. quorum

45. A proxy can vote in case of ……….

Correct : A. poll

46. A special resolution is one to pass with the votes cast in favour must be ………..times the votes cast against it.

Correct : B. 3

47. A special resolution must be filed with the registrar for registration within …….days.

Correct : D. 30

48. To make the liability of directors unlimited a………..resolution is required.

Correct : B. special

49. For declaration of dividend no ……...resolution is required.

Correct : B. special

50. The demand for a poll may be withdrawn before ……….of the poll is declared.

Correct : C. result

51. The minutes of the share holder’s meeting are to be kept at the ……….office of the company and must be open to inspection.

Correct : A. registered

52. The meeting other than statutory and the annual general meeting of the company is…………

Correct : A. extra ordinary meeting

53. The statutory meeting is required to be held by ………..companies

Correct : B. public

54. ……….is the proper authority to call annual general meeting.

Correct : C. board of directors

55. Which of the following is the feature of a registered company

Correct : D. all of these

56. ………. defines the extent of powers of powers of the company.

Correct : B. memorandum of association

57. Table………….. is for memorandum of association of a company limited by shares.

Correct : B. c

58. Table…………..is for memorandum of association of a company limited by guarantee and not having a share capital.

Correct : B. c

59. Table…………..is for memorandum of association of a company limited by guarantee and having a share capital.

Correct : C. d

60. Table…………..is for memorandum of association of an unlimited company

Correct : D. e

61. The procedure to write facts about a resolution and its decision is called……………

Correct : C. minutes of narration

62. Which of the following is not true-

Correct : D. directors are always liable for any misstatement in a prospectus.

63. The first directors are usually named in the …………

Correct : A. articles

64. ……………..may appoint additional directors from time to time if so authorized by articles.

Correct : D. board of directors

65. ……………..is entitled to the management of the whole or substantially the whole of the affairs of the company.

Correct : A. manager

66. ……….. liability is imposed on the directors if they manipulate or falsify the accounts of the company.

Correct : B. criminal

67. Meeting cannot transact any business unless a……. is present at every stage of the meeting

Correct : C. quorum

68. The company shall send a duplicate copy of the contents of Register of directors to the registrar within …….of the appointment of the directors.

Correct : A. 30 days

69. ………….meeting is the first meeting of the members of the public company after its incorporation

Correct : D. statutory

70. A person liable to contribute towards the assets of the company on the event of its being wound up is a …………

Correct : C. contributory

71. On a winding up order being made in respect of a company, the official Liquidator shall, become the ………….. of the company.

Correct : A. liquidator

72. When a winding up order has been made by the tribunal but there is no liquidator, the property of the company vests in the ……………….. .

Correct : D. tribunal

73. After obtaining of certificate to commence business a company may be wound up if it does not commence business within ………………….. .

Correct : D. one year

74. A company may be wound up by the Tribunal by passing …………………… Resolution.

Correct : A. special

75. A company has to submit a statement of affairs to the Official Liquidator within …… days of the appointment of the official liquidator.

Correct : B. 14

76. In a members voluntary winding up the notice of the resolution for winding up shall be filed with the registrar within ………….. days of passing of the resolution.

Correct : B. 14

77. A public company may be wound up by the Tribunal if the number of its members is reduced below …………

Correct : A. 7

78. An official liquidator is appointed by the …………..

Correct : D. central govt.

79. A voluntary winding up is deemed to commence from the date when the declaration of solvency is made by the …………………. . .

Correct : C. board of directors

80. List A of contributories contains …………………. members of the company.

Correct : A. existing

81. List B of contributories contains ……………… members of the company.

Correct : B. past

82. On dissolution the name of the company is struck off from the …… of the company.

Correct : C. register

83. The Cadbury Committee suggests that the non- executive directors can play a crucial role in

Correct : D. corporate governance

84. SEBI’s code of Corporate Governance provides from the constitution of share holders committee under the chairmanship of ……………….. .

Correct : C. non executive director

85. Mandatory requirements of the revised clause 49 of the listing agreement, requires that non- executive directors in the Board of Directors are not less than …………….. of the Board of Directors.

Correct : C. 50%

86. Which of the following are known as Board Committees

Correct : D. all of these.

87. The company agrees that the remuneration of non- executive directors shall be decided by

Correct : A. board of directors

88. ………….carries out the winding up proceedings.

Correct : A. liquidator

89. The order of dissolution can be issued only by the …………

Correct : D. tribunal

90. A company which has not commenced operation or which is not in operation or has no assets to dive is called……….company.

Correct : D. defunct

91. The presiding officer and every other member of a securities appellate tribunal shall hold office for a term of ………. Years from the date on which he enters upon his office.

Correct : B. 5

92. A transfer in which the signature of the transferor is forged is called…………transfer.

Correct : B. forged

93. …………….transfer whereby the transferor hands over to the buyer the share certicate and a blank transfer deed.

Correct : A. blank

94. Which of the following is not true-

Correct : C. lic is an example of registered company

95. When a public company has issued prospectus without receiving the minimum subscription it is called……………

Correct : D. irregular allotment

96. When a large block of shares has been allotted to a single person, the company may at his request, divide the original allotment letter into a number of small allotment letters. This is called

Correct : A. splitting of allotment

97. Many public companies provide in their articles for an allottee to give up the right over the shares allotted to him either wholly or partly and transfer the allotment made to him to some other person. This is known as…..

Correct : C. renunciation of allotment

98. The number and nominal amount of shares allotted must be stated in……

Correct : B. return of allotment

99. The return of allotment must be filed with the registrar of companies within………….. of allotment

Correct : A. 30 days