Company Law Questions and Answers Part-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

Answer: b

2. The time period for conduction of AGM is extended by ROC for how many months
a) 1
b) 2
c) 3
d) 4

Answer: c

3. Maximum rate of discount that can be allowed on issue of shares
a) 5%
b) 10%
c) 15%
d) 20%

Answer: b

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

Answer: c

5. The time gap between two AGM’s shall not exceed.
a) 15 months
b) 18 months
c) 16 months
d) None of these

Answer: a

6. Debentures payable to a holder of certificate is called_____
a) Bearer
b) Unregistered
c) Secured
d) Both a & b

Answer: a

7. Age limit of Directors in case of private company is ___________
a) 65
b) 70
c) 75
d) No limit

Answer: d

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

Answer: c

9. The company must deliver share certificate within______ if the shares applied for transfer.
a) 2 months
b) 3 months
c) 5 months
d) none of these

Answer: a

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

Answer: a