Formation of a Company Quiz

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Formation of a Company (CBSE Class 11)

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Lavanya Ramdev

India

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Formation of a Company Quiz


Formation of a Company QuizOnline version Formation of a Company (CBSE Class 11) by Lavanya Ramdev 1 Who starts the process of forming a company? a Employees b Promoters c Shareholders d Directors 2 Which document lays down the company's main objects and powers? a Articles of Association b Memorandum of Association c Share certificate d Prospectus 3 Which document contains internal rules for management and administration? a Memorandum of Association b Articles of Association c Share certificate d Prospectus 4 Which document evidences incorporation and is filed with the Registrar? a Prospectus b Memorandum of Association c Articles of Association d Certificate of Incorporation 5 What is the capital that a company is authorized to issue called? a Issued capital b Subscribed capital c Paid-up capital d Authorized capital 6 What is the capital actually subscribed by members at formation called? a Subscribed capital b Paid-up capital c Issued capital d Authorized capital 7 Which document invites public to subscribe for shares in a new company? a Share certificate b AOA c Prospectus d MOA 8 Which capital is the amount actually paid by shareholders against their shares? a Paid-up capital b Issued capital c Authorized capital d Subscribed capital 9 Which of the following is not a type of feasibility study conducted by promoters? a Economic b Political c Financial d Technical 10 Which act governs company formation in India? a Companies Act, 1956 b Companies Act, 1990 c Companies Act, 2013 d Insolvency and Bankruptcy Code 11 How many names in order of priority must promoters generally submit for approval to the Registrar? a 3 b 4 c 1 d 2 12 Which clause of the Memorandum specifies the maximum capital a company can raise? a Name Clause b Liability Clause c Object clause d Capital clause 13 A public company cannot proceed with allotment of shares unless it has received at least: a 50% of the issue size b 90% of the issue size c 80% of the issue size d 70% of the issue size 14 Underwriters are appointed to- a Manage internal affairs of the company b Approve the company's accounts c Purchase unsold shares in public issue d Prepare Memorandum of Association 15 A company is incorporated on 15th July. Later it is found that one of the signatories to the Memorandum had forged his signature. What is the status of the company? a The incorporation is invalid and company must be dissolved b The incorporation remains valid due to the fact that the Certificate of Incorporation has been issued c The company must reapply for incorporation d Company is dissolved after shareholder approval 16 What are qualification shares? a Shares allotted to company employees as part of an incentive plan b Minimum number of shares a person must hold to be eligible to act as a director c Shares offered to the public at a price lower than face value d Shares purchased by promoters before incorporation 17 Which stage is compulsory only for a public company? a Promotion b Incorporation c Capital Subsciption d All of the above

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Formation of a Company Quiz

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Formation of a Company QuizOnline version

by Lavanya Ramdev

Who starts the process of forming a company?

Which document lays down the company's main objects and powers?

Which document contains internal rules for management and administration?

Which document evidences incorporation and is filed with the Registrar?

What is the capital that a company is authorized to issue called?

What is the capital actually subscribed by members at formation called?

Which document invites public to subscribe for shares in a new company?

Which capital is the amount actually paid by shareholders against their shares?

Which of the following is not a type of feasibility study conducted by promoters?

Which act governs company formation in India?

How many names in order of priority must promoters generally submit for approval to the Registrar?

Which clause of the Memorandum specifies the maximum capital a company can raise?

A public company cannot proceed with allotment of shares unless it has received at least:

Underwriters are appointed to-

A company is incorporated on 15th July. Later it is found that one of the signatories to the Memorandum had forged his signature. What is the status of the company?

What are qualification shares?

Which stage is compulsory only for a public company?