Quiznetik
Company Law | Set 1
1. _________ Order to call a EGM even though 1 member present in person or by proxy.
A. roc
B. c.g
C. nclt
D. d.c.a
Correct : B. c.g
2. The time period for conduction of AGM is extended by ROC for how many months
A. 1
B. 2
C. 3
D. 4
Correct : C. 3
3. Maximum rate of discount that can be allowed on issue of shares
A. 5%
B. 10%
C. 15%
D. 20%
Correct : B. 10%
4. Liability under_____ sec. may be imposed only if it is proved that the companies business has been carried on with a view to defraud the creditors
A. 540
B. 541
C. 542
D. 543
Correct : C. 542
5. The time gap between two AGM’s shall not exceed.
A. 15 months
B. 18 months
C. 16 months
D. none of these
Correct : A. 15 months
6. Age limit of Directors in case of private company is ___________
A. 65
B. 70
C. 75
D. no limit
Correct : D. no limit
7. Debentures payable to a holder of certificate is called_____
A. bearer
B. unregistered
C. secured
D. both ((a) & ((b)
Correct : A. bearer
8. Minimum paid up share capital in case of a public company is _____
A. 1 lakh
B. 3 lakhs
C. 5 lakhs
D. 7 lakhs
Correct : C. 5 lakhs
9. The company must deliver share certificate within______ if the shares applied for transfer.
A. 3 months
B. 2 months
C. 5 months
D. none of these
Correct : B. 2 months
10. The lending of funds ultra vires, the company has no rights
A. under the company’s act
B. contract act
C. under equity
D. none of the above
Correct : A. under the company’s act
11. Share warrants can be issued with the prior approval of the____
A. company law board
B. dept of company affairs
C. registrar
D. none
Correct : C. registrar
12. Minimum no. of Directors in case of a public company is ___
A. 1
B. 2
C. 3
D. 4
Correct : C. 3
13. Which of the following is not a member of a company?
A. partnership firm
B. foreigner
C. government
D. huf
Correct : A. partnership firm
14. Debentures payable to person whose name appears both on Debenture Certificate and company’s register is called
A. bearer
B. unregistered
C. registered
D. none of the above
Correct : C. registered
15. ___ is issued in acknowledgement of any indebtedness
A. debenture certificate
B. share certificate
C. share warrant
D. none of the above
Correct : A. debenture certificate
16. In case of Non -Profit making Companies notice of general meeting should be given with in _____ days
A. 14
B. 15
C. 21
D. 22
Correct : A. 14
17. Change in objects clauses can be effected
A. for any reason
B. for special reason only
C. to comply with c.g order
D. none of the above
Correct : B. for special reason only
18. Which of the following is a right of the members of a company_____
A. right to have share
B. right appoint auditor
C. right appoint director
D. all the above
Correct : D. all the above
19. Which of the following can issue the share warrant
A. public
B. private
C. both (a) & (b)
D. none of the above
Correct : A. public
20. In case of continuing default to convene the AGM fine is Rs.___________ for every day.
A. 250
B. 300
C. 350
D. 400
Correct : A. 250
21. Transfer of shares in the case of public company is
A. prohibited
B. restricted
C. freely transferable
D. none of these
Correct : C. freely transferable
22. In the given below who are required to hold A.G.M___________
A. public company
B. private company
C. government company
D. all the three
Correct : A. public company
23. U/s 274 (f) (g) directors are disqualified for how many________ years.
A. 1
B. 3
C. 5
D. 7
Correct : C. 5
24. Where the registrar strikes off the register the name of a company as a defunct one, the court has the power to order restoration of name with in:
A. 5 years
B. 7 years
C. 10 years
D. 20 years
Correct : C. 10 years
25. A share warrant is transferable by ____________
A. by execution of transfer deed
B. by delivery
C. both (a) and (b)
D. none of the above
Correct : B. by delivery
26. Every AGM must be held with ___ from the date of the Balance Sheet.
A. 4 months
B. 6 months
C. 9 months
D. none of these
Correct : C. 9 months
27. After the expiry of how much time the company must think that the permission was not granted
A. 11 weeks
B. 12 weeks
C. 10 weeks
D. none of these
Correct : C. 10 weeks
28. The resolution passed at AGM are__________
A. valid
B. void
C. voidable
D. void ab-initio
Correct : A. valid
29. Own funds are called
A. debenture capital
B. share capital
C. loan capital
D. none of the above
Correct : B. share capital
30. If a new company get registered with a name which resembles the name of existing company then it should apply to whom?
A. nclt
B. sebi
C. roc
D. none of the above
Correct : A. nclt
31. In case of red-herring prospectus the refund is made with an interest @_____
A. 12
B. 13
C. 15
D. 16
Correct : C. 15
32. If the guarantee Co. having no share capital the liability of shareholders will be
A. to the extent of guarantee
B. unpaid value of shares
C. unlimited
D. none of the above
Correct : A. to the extent of guarantee
33. First AGM must be held within_____________ from the incorporation of the company
A. 15 months
B. 18 months
C. 12 months
D. none of these
Correct : B. 18 months
34. The doctrine of__________ does not apply to acts void ab initio.
A. ultra virus
B. intra virus
C. constructive notice
D. indoor management
Correct : D. indoor management
35. Cumulative preference share holders have voting right if dividend are in arrears for years
A. 1
B. 2
C. 3
D. 4
Correct : B. 2
36. In case of Partly Convertible Debentures non-convertible portion is classified as_____
A. debt
B. equity
C. both (a) & (b)
D. none of the above
Correct : A. debt
37. Transmission is effected by
A. sale
B. death
C. insolvency
D. both (b) & (c)
Correct : D. both (b) & (c)
38. Which of the following can be used for buy back of shares
A. free reserves
B. securities premium
C. proceeds of fresh issue of shares
D. all of the above
Correct : D. all of the above
39. Deposits should issued with in__________ weeks from the date of receipt of money.
A. 2
B. 4
C. 6
D. 8
Correct : D. 8
40. If minimum subscription is not received application money should be refunded with in _____ days
A. 20
B. 25
C. 30
D. 10
Correct : D. 10
41. Information memorandum + shelf prospectus together constitutes_____
A. memorandum
B. articles
C. prospectus
D. none of the above
Correct : C. prospectus
42. In the event of appointing a proxy joint holders shall sign the proxy form
A. singularly
B. jointly
C. none of the above
D. both (a) & (b)
Correct : B. jointly
43. Minimum number of members in case of private company is
A. 1
B. 2
C. 3
D. 4
Correct : B. 2
44. Maximum no .of members in case of public company is
A. 0
B. unlimited
C. 50
D. 100
Correct : B. unlimited
45. Ques. The liability of members if company is limited by guarantee.
A. unpaid value of shares
B. guarantee amount
C. unlimited liability
D. none of the above
Correct : B. guarantee amount
46. Which one of the following has a right to claim compensation for any loss due to mis-statement in prospectus
A. purchasing shares in primary market
B. secondary market
C. subscribers to memo
D. all the above
Correct : A. purchasing shares in primary market
47. ______ years of imprisonment will be imposed in case of issue of prospectus with untrue statements
A. 1
B. 2
C. 3
D. 4
Correct : B. 2
48. The liability of members if company is limited by shares
A. unpaid value of shares
B. guarantee amount
C. unlimited liability
D. none of the above
Correct : A. unpaid value of shares
49. Forfeiture can be made only if it is authorized by ______
A. aoa
B. moa
C. roc
D. c.g
Correct : B. moa
50. Name of the member is struck off from the register in case of____________
A. issue of share certificate
B. share warrant
C. forfeiture
D. none of the above
Correct : B. share warrant
51. A company can become a members of another company if it is so authorized by______
A. moa
B. aoa
C. both (a) & (b)
D. none of the above
Correct : A. moa
52. Validity period of information memorandum is___________
A. 1 year
B. 2 years
C. 3 years
D. 4 years
Correct : A. 1 year
53. Central Government permission is required in case of_____ conversion____
A. private to public
B. public to private
C. both (a) or (b)
D. none of the above
Correct : B. public to private
54. Paying back of capital is called
A. redemption
B. conversion
C. participation
D. none
Correct : A. redemption
55. Proxies cannot vote on_________
A. show of hands
B. poll
C. both (a) & (b)
D. none of the above
Correct : A. show of hands
56. Minimum number of members in case of public company
A. 1
B. 2
C. 5
D. 7
Correct : D. 7
57. Minimum no. of Directors in case of private company is __________
A. 1
B. 2
C. 3
D. 4
Correct : B. 2
58. A company is named as govt. company if it is holds_________ % of paid up share capital
A. more than 30
B. more than 40
C. more than 50
D. none
Correct : C. more than 50
59. _______ % of shares should be held by a company in another company so as to become subsidiary
A. more than 50
B. more than 40
C. more than 30
D. more than 20
Correct : A. more than 50
60. In case of Non -Profit making Companies books of accounts are required to be preserved for _____ years
A. 2
B. 4
C. 6
D. 8
Correct : B. 4
61. Accepting of deposits from public in case of private company is
A. prohibited
B. restricted
C. acceptable
D. none of these
Correct : A. prohibited
62. Stamp duty on registration of the company is payable based on____________ capital.
A. nominal
B. authorized
C. both (a) & (b)
D. none
Correct : C. both (a) & (b)
63. ____ are the shares issued by the company to it employees or directors for consideration other than cash
A. bonus
B. sweat
C. right
D. none of the above
Correct : B. sweat
64. ________ resolution should be passed by the company to offer shares to outsiders
A. special resolution
B. ordinary resolution
C. c.g
D. none of the above
Correct : A. special resolution
65. The doctrine of indoor management is an_________ to the doctrine of constructive notice
A. exception
B. extension
C. alternative
D. none of the above
Correct : B. extension
66. Ques. Companies are now allotted a_________ in addition to their name
A. PAN
B. SIN
C. PIN
D. CIN
Correct : D. CIN
67. In how many days did the company have its registered office after incorporation
A. 10
B. 20
C. 30
D. 40
Correct : C. 30
68. In the MOA there are 6 clauses. We can alter all clauses expect one clause. What is that clause?
A. objects clause
B. name clause
C. association clause
D. none of these
Correct : C. association clause
69. If any body wants to file a case against the company they should file at what place _____
A. company
B. registered office
C. bod
D. books of accounts
Correct : B. registered office
70. Ultra vires loans granted by the company are
A. void
B. voidable
C. valid
D. none of the above
Correct : A. void
71. conceives the idea of the business
A. promoters
B. directors
C. auditors
D. none of the above
Correct : A. promoters
72. Company is recognized by _________________
A. Services
B. Common Seal
C. Directors
D. Artificial Person
Correct : B. Common Seal
73. Company Law disputes are referred to_____________
A. CLB
B. NCLT
C. NCLAT
D. District court
Correct : B. NCLT
74. One of the feature of Company as _______________
A. Name
B. Perpetuity
C. Location
D. Registration
Correct : B. Perpetuity
75. _____________ Company can be classified on based control company.
A. Public
B. Limited
C. Registered
D. Holding
Correct : D. Holding
76. Company registered under Sec. 8 as per 2013 amendment can _________
A. Manufacturing
B. give services
C. not earn profits
D. Limit Shares
Correct : C. not earn profits
77. Company act 2013 have __________ number of sections
A. 236
B. 56
C. 470
D. 536
Correct : C. 470
78. Theory which gives explanation to ‘lifting the corporate Veil” is _______
A. Concession theory
B. Bracket Theory
C. Fiction theory
D. Feminist theory
Correct : B. Bracket Theory
79. Corporate is person ficta ‘fictitious person’ _______________
A. Concession theory
B. Bracket Theory
C. Fiction theory
D. Feminist theory
Correct : C. Fiction theory
80. Public limited company paid up capital share is Rupees ______________
A. 50,000
B. 5,00,000
C. 1,00,000
D. 1,50,000
Correct : B. 5,00,000
81. Memorandum of Association has ________ clause
A. 7
B. 10
C. 12
D. 14
Correct : A. 7
82. Registered address of the company can be reported to registrar maximum within ____________ days.
A. 5
B. 30
C. 100
D. 365
Correct : B. 30
83. Retrospective correction can be done, even after execution of action in
A. Article of Association,
B. Memorandum of Association
C. Prospectus,
D. Interpretation of Statue
Correct : A. Article of Association,
84. Company is defined under ____________
A. S.3 (1) (i)
B. S.4
C. S.5
D. S.6
Correct : A. S.3 (1) (i)
85. Company registered under Company Law is _________
A. Legal Company
B. Registered Company
C. Chartered Company
D. LLP
Correct : B. Registered Company
86. Private Company is defined under __________
A. S.3 (1) (iii)
B. S.3 (1) (iv)
C. S.4
D. S.4 (2)
Correct : A. S.3 (1) (iii)
87. Private Company restricts the number of its members up to _________
A. Two
B. Ten
C. 20
D. 50
Correct : D. 50
88. Which one of the following statements is true __________
A. Any person can become the member of the company.
B. Incorporated Company is a legal person and a citizen also.
C. Debenture holders do not have the right to vote.
D. All are false.
Correct : D. All are false.
89. Government Company is defined under ________
A. S.571
B. S.617
C. S.619
D. S.620
Correct : B. S.617
90. Which one of these cases, it was decided that a company incorporated by a single person can also have a separate legal entity ________
A. Solomon v/s. Solomon & Co.
B. Ashbury Railway carriage Co. v/s. Riche.
C. Foster v/s. Foster.
D. Carriage and Iron Co. Ltd v/s. Rich.
Correct : B. Ashbury Railway carriage Co. v/s. Riche.
91. Which one of these cases, is not related to separate entity of the company ____
A. Oax v/s. Turquand and Harding.
B. Solomon v/s. Solomon & Co.
C. In Re Kandoli Tea Co.
D. Southern Foundaries Ltd. v/s. Shirla.
Correct : D. Southern Foundaries Ltd. v/s. Shirla.
92. In which one of these cases, the doctrine of ultra vires was laid down ________
A. Ashbury Railway Carriage & Iron Co. Ltd. v/s. Riche.
B. Royal British Bank v/s. Turquand.
C. Derry v/s. Peek
D. Oax v/s. Turquand and Harding.
Correct : A. Ashbury Railway Carriage & Iron Co. Ltd. v/s. Riche.
93. The doctrine which says company is collective will and has its real psychic existence is based on __________
A. Fiction Theory.
B. Realist Theory.
C. Bracket Theory.
D. Purpose Theory.
Correct : B. Realist Theory.
94. If direction to change the name of the company is given by the Central Government, the Company must change its name within ______________
A. One month
B. Two months
C. Three months
D. Six months
Correct : C. Three months
95. Which of the firm must not have Articles of Association? _______________
A. Unlimited Companies,
B. Companies limited by guarantee
C. Private companies limited by shares must have Articles of Association.
D. LLP
Correct : D. LLP
96. The doctrine of Indoor Management seeks to protect _____________
A. Outsiders against the company.
B. Sanctioned by the Registrar of the companies.
C. Authorised by Board of Directors.
D. Allowed by Memorandum of Association.
Correct : A. Outsiders against the company.
97. The rule of constructive notice seeks to protect_____________
A. The company against the outsiders.
B. Shareholders against the company.
C. Outsiders against the company.
D. Directors against the outsiders.
Correct : A. The company against the outsiders.
98. The Prospectus must be issued within ______________
A. 90 days of its registration.
B. 60 days of the Certificate of Incorporation.
C. 90 days of the Statutory Meeting.
D. 60 days of the first Annual General Meeting.
Correct : A. 90 days of its registration.
99. Every person who knowingly issues a Prospectus without registration, is punishable _______________
A. With fine upto Rs.5000/-
B. With fine upto Rs.2000/-
C. With fine upto Rs.1000/-
D. With fine upto Rs.1000/- and imprisonment upto one month.
Correct : A. With fine upto Rs.5000/-
100. In case of every company, a meeting of the Board of Directors shall be held at least____________
A. Once a month.
B. Once in every two months.
C. Once in every three months.
D. Once a year.
Correct : C. Once in every three months.