Commerce exams sample papers

Objective Questions on Company Law

company law questions
Share with your Friends...
Share on Facebook
Facebook
Tweet about this on Twitter
Twitter
Share on LinkedIn
Linkedin
Pin on Pinterest
Pinterest
Print this page
Print

Company Law Paper of the CS Executive Programme

Question 1
If quorum is not present with in____ time the meeting is stand dissolved.
A
1 Hr
B
½ Hr
C
1 ½ Hr
D
2 Hr.
Question 2
If the employer is company other than a banking company deduction will be allowed under 3rd schedule  while   determining  available  surplus _____ %  of its paid up  capital  at the commencement of the accounting year
A
9.5%
B
None of these
C
7.5%
D
8.5%
Question 3
_____ includes any amount borrowed by a company.
A
None of the above
B
Both (a) & (b)
C
Funds
D
Deposits
Question 4
A charge requiring registration shall be filed with the registrar with in____
A
45 days
B
None of the above
C
21 days
D
30 days
Question 5
___ meeting given an opportunity to the member to know discuss on promotion & formation of the company.
A
General
B
EGM
C
Statutory
Question 6
Company to accept calls in advance from shareholders they should have permission in
A
AOA
B
MOA
C
BOD
Question 7

Related: CPT Quantitative Aptitude Test

____ prospectus were issued in order to test the market before finalizing issue size/ price.
A
Shelf
B
Red herring
C
Deemed
D
None of the above
Question 8
In the process of conversion of a private company into a public company which prospectus must be issued
A
Statement in lieu of prospectus
B
Deemed prospectus
C
Shelf prospectus
Question 9
Gross profit of an employer in case of any other company other than banking company will be calculated as per_____ under payment of Bonus Act.
A
Schedule II
B
Schedule I
C
Schedule III
D
None of these
Question 10
The companies which are formed under special Act. Those companies are called as
A
Registered companies
B
None of these
C
Statutory companies
D
Chartered companies
Question 11
__  specifies the time limit with in which share certificate is to be delivered
A
sec 112
B
sec 113
C
sec 111
D
sec 110
Question 12
Definition of prospectus was given under which sec.
A
2 (36)
B
2 (32)
C
2 (34)
D
2 (30)
Question 13
What is minimum period for which deposits can be issued?
A
8 months
B
6 months
C
None of these
D
7 months
Question 14
Buy back by board resolution can only be upto_____
A
10
B
25
C
15
D
20
Question 15
Bonus can be paid by cheque
A
Yes
B
No
Question 16
If buy back is made from free resources then what should be created___
A
Capital Redemption Reserve
B
Debenture Redemption Reserve
C
Statutory liquid Ratio
D
None of the above
Question 17
In which of the following stamp duty & consideration not necessary ____
A
Transfer
B
Transmission
Question 18
Set on can be done for next ________  accounting years
A
None of these
B
5
C
4
D
6
Question 19
___ is the charter of a company.
A
Memorandum
B
Articles
Question 20
Notice of statutory meeting should be attested by at least.
A
3 directors
B
2 directors
C
None of these
D
4 directors
Question 21
Employees employed under educational institutions they will cover under payment of Bonus Act
A
Yes
B
No
Question 22
In general cases Bonus shall be paid with in
A
7 months
B
6 months
C
8 months
D
None of these
Question 23
A cost auditor makes his report to:
A
Directors of company
B
C. G.
C
Members of company
D
Registrar
Question 24
A poll can be demanded by any member present in person or by proxy if he has voting powers at least equal to:
A
1/30 th
B
1/10 th
C
1/5 th
D
1/20 th
Question 25
Is the holder of share warrant is eligible for voting?
A
No
B
Yes
Question 26
____ includes an engineer, valuationer, accountant
A
Director
B
Expert
C
Auditor
D
Promoter
Question 27
___ is a charge created on a class of assets related to ordinary course of business.
A
Fixed
B
Floating
C
None of the above
D
Specific
Question 28
Employees   employed   under   any   financial   corporation   established   under   state   financial corporation Act will not cover under payment of Bonus Act.
A
No
B
Yes
Question 29
Shraddha Shakti Company accepted deposits on March 1 st 2019 and at the time of acceptance they said that the deposits will be repaid on Aug. 1 st 2020. Is the company proposal and deposits are valid
A
No
B
Yes
Question 30
Calls in advance have voting rights
A
No
B
Yes
Question 31
In case of application for transfer Debenture Certificate is to be issued within ____ months
A
4
B
3
C
2
D
1
Question 32
Maximum capital of private company is
A
Unlimited
B
1 Crore
C
10 Crore
D
50 Lakhs
Question 33
Notice of Adjourn meeting is not required of a meeting is
A
Adjourn for more than 30 days
B
Adjourn for want of quorum
C
Adjourn sine die
D
None
Question 34
In case of adjourned meeting is it necessary to wait for the quorum
A
No
B
Yes
Question 35
Company should file a prospectus in case of conversion of private company into a public company with in ______ from the date of resolution
A
45 days
B
30 days
C
60 days
Question 36

Related: Fundamental Accounting Objective Question

In addition to the contribution employer has to pay ______ % of wages as administration charges.
A
0.10%
B
None of these
C
0.18%
D
0.17%
Question 37
Loose - leaf minutes to be bound into books at regular intervals of ____ months
A
7
B
8
C
6
D
9
Question 38
AGM should be held at
A
Company
B
Registered office
C
Corporate office
Question 39
Transfer of shares in the company is
A
Prohibited
B
Freely transferable
C
Restricted
Question 40
Maximum period that can be extended by appropriate Government for payment of Bonus
A
3 years
B
None of these
C
2 years
D
1 year
Question 41
Pre-incorporation contract is also known as __
A
legal
B
illegal
C
Preliminary
D
Provisional
Question 42
In case of buy back debt equity ratio should be____
A
1:2
B
2:1
C
1:3
D
3:1
Question 43
Advance received against orders for the supply of goods or selling of properties will be treated as deposits.
A
Yes
B
No
Question 44
Any charge is satisfied in full then which form is to be file with ROC_____
A
18
B
20
C
19
D
17
Question 45
In the absence of a quorum the proceedings of the meeting will be___
A
Valid
B
Void
Question 46
Any company can’t held AGM on a public holiday
A
Yes
B
No
Question 47
Voting right can’t be exercised in case of___
A
None of the above
B
Calls in arrears
C
Calls in advance
D
Both (a) & (b)
Question 48
Company must pass_________ for reducing its share capital
A
O.R
B
S.R
C
C.G permission
D
None of the these
Question 49
To issue a share certificate Central Government permission is necessary?
A
No
B
Yes
Question 50
Every company must go for under writing
A
Yes
B
No
Question 51
An employee of a Seasonal factory will be given minimum bonus if he had not worked for sufficient days
A
No
B
Yes
Question 52
As per SEBI guidelines the application money should be minimum of___
A
25
B
15
C
10
D
20
Question 53
A special resolution is passed with
A
60% majority of members present
B
Simple majority
C
75% majority of members present
Question 54
Prospectus is required to be issued when right issue are made
A
Yes
B
No
Question 55
Maximum members in case of private company
A
75
B
50
C
100
Question 56
MoA should be in form ____ in case of a unlimited liability
A
Table E
B
Table B
C
Table A
Question 57
Public deposit matures and claimed but remains unpaid, penal interest will be in case of small deposits
A
16%
B
18%
C
20%
D
None of these
Question 58
When a private company is converted into public company. In which form it should be
A
Schedule VI
B
None of these
C
Schedule III
D
Schedule IV
Question 59
Debenture forms part of
A
None of the above
B
Fund
C
Loan
D
Capital
Question 60
Part of the issued capital taken by public is called______
A
Un called capital
B
Paid up capital
C
Called - up capital
D
Subscribed
Question 61
Private Company need not issue prospectus
A
Yes
B
No
Question 62
Consideration shall be paid if share holder surrender his shares
A
No
B
Yes
Question 63
Age limit of Directors in case of public company is ___
A
70
B
75
C
80
D
65
Question 64
Buy back should be less than or equal to ___ % of total paid up capital
A
35
B
40
C
30
D
25
Question 65
Employees employed through contractors on building operations. Will cover under payment of Bonus Act 1956
A
Yes
B
No
Question 66
The companies which are formed under companies Act. 1956. They will be called as
A
None of these
B
Chartered companies
C
Statutory companies
D
Registered companies
Question 67
Company will have fundamental rights.
A
True
B
False
Question 68
The premium amount that can be charged as per companies Act.
A
15%
B
None of these
C
20%
D
10%
Question 69
If the employer is a Banking company. Deduction will be allowed under 3 rd schedule is while determining available surplus __ of reserves shown in its B/S at the commencement of the accounting year
A
5%
B
6%
C
7%
Question 70
Transfer of shares in case of private company is
A
Prohibited
B
Restricted
C
Freely transferable
Question 71
Statutory meeting must be held in case of a public company
A
No
B
Yes
Question 72
When Maximum Bonus should be paid
A
None of the above
B
AS = Min Bonus
C
AS > Min Bonus
D
AS < Min Bonus
Question 73
Every Company who want to go for public issue and allot shares, they should make an applicant to stock exchange
A
Yes
B
No
Question 74
___ may grant exemption to any class of companies with regard to the time & place of AGM.
A
D.C.A
B
NCLT
C
ROC
D
C.G
Question 75
If the employer is a corporation deduction will be allowed under 3 rd schedule is while determining available surplus ____ % of its paid up capital as at the commencement of the accounting year
A
8.5%
B
6%
C
7.5%
Question 76
Under which sec. a private company can voluntarily converted into public company___
A
44
B
54
C
64
D
34
Question 77
Minutes should be recorded with in ____ days from the date of conclusion of every meeting
A
30
B
40
C
10
D
20
Question 78
Because of Misrepresentation in prospectus an expert will be criminally liable.
A
No
B
Yes
Question 79
The Provident Fund Scheme is mandatory to employer but not mandatory to employee. Do you agree with this statement?
A
Agree
B
Disagree
Question 80
____ is the conclusive evidence in case of company that statutory requirements have complied with
A
Certificate of commencement of Business
B
Certificate of Incorporation
Question 81
When there is a untrue statement in a prospectus who can sue
A
None of the above
B
Rights issue
C
Subscribed in primary market
D
Subscribed in secondary market
Question 82
The date of the opening of the subscription list means the beginning of the_____ from the day of the issue of prospectus.
A
5 th
B
20 th
C
10 th
D
3 rd
Question 83
If the employer is a partnership firm deduction will be allowed under 3 rd schedule is while determining available surplus ____ % of the capital invested
A
7.5%
B
8.5%
C
6%
Question 84
Prospectus is required to be issued when issue is for Employees under Employee stock option scheme
A
Yes
B
No
Question 85

Related: Merchantile Law Practice Questions

Voting Rights are available to share certificate holders.
A
No
B
Yes
Question 86
The min subscription amount is reckoned with amounts payable in___
A
cash as well as kind
B
kind only
C
cash only
Question 87
___ report is send by the directors to its members.
A
Statutory
B
Annual
C
Audit
Question 88
If a company which is formed with unlimited liability wants to convert to limited liability then it should pass
A
Ordinary resolution
B
Special resolution
C
No need
Question 89
What is the ceiling imposed by the government on company on any deposits
A
10
B
35
C
5
D
25
Question 90
In the case of partnership firm. Audit is
A
Compulsory
B
Optional
Question 91
Part of authorized capital which is offered by the company for subscription.
A
called up
B
Un called
C
subscribed
D
Issued
Question 92

Related: Data Interpretation Questions

Allotment of shares or debentures must be made after getting ______ subscription against entire public issue as per SEBI guidelines.
A
None of these
B
90%
C
100%
D
80%
Question 93
The minimum application money should be _____ of nominal value.
A
5%
B
2%
C
3%
Question 94

Related: Partnership Act MCQ Multiple Choice Question Answer

Alan Private Limited company provided in articles that quorum for the company should be 7 member is the company correct
A
Correct
B
Not correct
Question 95
Audit of a public company will be counted for the limit of audits
A
No
B
Yes
Question 96
Failure to comply with the order of NCLT is punishable with an imprisonment upto ___ years.
A
3
B
1
C
2
D
4
Question 97
Marshel Mathers Ltd is incorporated on Jan 1, 2019. It must hold its first AGM before.
A
Dec 31-2019
B
June 30 – 2020
C
Dec 31-2020
D
June 30-2019
Question 98
OMPL Gas Company shares are totally held by government. The company will be government.
A
False
B
True
Question 99
Employees Employed under Indian Red Cross Society will cover under payment of Bonus Act 1956.
A
No
B
Yes
Question 100
While calculating Direct tax payable u/s 7 of the payment of Bonus Act which of the following should not be considered?
A
Profits
B
Capital gains
C
Speculation loss
D
Unabsorbed depreciation
Question 101

Related: Check your Intelligence, try this Aptitude Test

___ is a charge when it is made specifically to cover assets
A
Fixed
B
Floating
C
Both Fixed & Specific
D
Specific
Question 102
Which companies are exempted to add “Ltd” or “Pvt Ltd” at the end of their name
A
Private
B
Defunct
C
Govt
D
Association not for profits
Question 103
Employees employed under Seamen as defined in the Merchant Shipping Act, 1958. Will not cover under payment of Bonus Act 1956.
A
No
B
Yes
Question 104
Notice of statutory meeting should be attested directors among them one should be compulsory M.D.
A
No
B
Yes
Question 105

Related: CA Practice Paper

All money received in the form of application money can be used for business activities
A
No
B
Yes
Question 106
Amount received by a company from another company will not be treated as deposit.
A
No
B
Yes
Question 107
Reduction & diminution is done under which sec.
A
100 & 96
B
94 & 100
C
100 & 94
D
96 & 100
Question 108
Every buy back shall be completed with in___ month from the date of passing the S.R.
A
10
B
12
C
8
D
6
There are 108 questions to complete.
Share with your Friends...
Share on Facebook
Facebook
Tweet about this on Twitter
Twitter
Share on LinkedIn
Linkedin
Pin on Pinterest
Pinterest
Print this page
Print

About the author

Vishal Arora

Leave a Comment

2 Comments