McqMate
These multiple-choice questions (MCQs) are designed to enhance your knowledge and understanding in the following areas: Bachelor of Commerce (B Com) .
| 101. |
An instrument which retain debt character and cannot be converted into equity shares |
| A. | Non Convertible Debentures |
| B. | Fully Convertible Debentures |
| C. | Partly Convertible debentures |
| D. | Secured Debentures |
| Answer» A. Non Convertible Debentures | |
| 102. |
A borrowing made by a company from a particular bank/financial institution. |
| A. | Secured Borrowing |
| B. | Bilateral borrowing |
| C. | Private borrowing |
| D. | Public borrowing |
| Answer» B. Bilateral borrowing | |
| 103. |
Bonds which are sold at a discount from its eventual maturity value and have zero interest rate. |
| A. | Zero coupon bonds |
| B. | Zero Capital |
| C. | Secured coupon Bonds |
| D. | None |
| Answer» A. Zero coupon bonds | |
| 104. |
For which type of capital a company pays the prescribed fees at the time of registration? |
| A. | Subscribed capital |
| B. | Authorized capital |
| C. | Paid up capital |
| D. | Issued capital |
| Answer» B. Authorized capital | |
| 105. |
According to Companies Act,minimum number of members in case of public company |
| A. | 1 |
| B. | 2 |
| C. | 5 |
| D. | 7 |
| Answer» D. 7 | |
| 106. |
Maximum no. of members in case of private company as per Companies Act is |
| A. | 50 |
| B. | 100 |
| C. | 150 |
| D. | 200 |
| Answer» A. 50 | |
| 107. |
If minimum subscription is not received application money should be refunded with in ______days |
| A. | 20 |
| B. | 25 |
| C. | 30 |
| D. | 10 |
| Answer» D. 10 | |
| 108. |
Section 12 of the Companies Act 1956, deals with |
| A. | Incorporation |
| B. | Share Capital |
| C. | Number of Dorectors |
| D. | Shareholders |
| Answer» A. Incorporation | |
| 109. |
The application for registration of a company should be presented to the _______ of the state appointed under Companies Act 1956 |
| A. | Controller |
| B. | Registrar |
| C. | Governor |
| D. | Registration Officer |
| Answer» B. Registrar | |
| 110. |
A statement of nominal capital must be given at the time of incorporation by the company when the share capital is less than |
| A. | 50 lakh |
| B. | 1 crore |
| C. | 25 lakh |
| D. | 10 lakh |
| Answer» C. 25 lakh | |
| 111. |
The Articles of Association must be signed by |
| A. | All proposed directors |
| B. | Registrar |
| C. | Subscribers of Memorandum |
| D. | (d) Non of the above |
| Answer» C. Subscribers of Memorandum | |
| 112. |
Which of the following clause of Memorandum of Association cannot be altered |
| A. | Name |
| B. | Liability |
| C. | Situation |
| D. | Object |
| Answer» B. Liability | |
| 113. |
An Indian private limited company which has only one founder/promoter is termed as________ |
| A. | Dormant company |
| B. | One Person Company |
| C. | Single Person Company |
| D. | Limited Company |
| Answer» B. One Person Company | |
| 114. |
A company formed and registered under the Act of 2013 for a future project or to hold an asset or an intellectual property is called__________ |
| A. | Dormant Company |
| B. | (b)Nidhis Company |
| C. | (c) Foreign Company |
| D. | (d) Unlimited Company |
| Answer» A. Dormant Company | |
| 115. |
The Certificate issued by the Registrar after a company is registered is called_________ |
| A. | Registration Certificate |
| B. | Certificate of Incorporation |
| C. | Certificate of commencement of business |
| D. | None of the above |
| Answer» B. Certificate of Incorporation | |
| 116. |
A document which contains the fundamental rules regarding the constitution and activities of a company is called |
| A. | Memorandum of Association |
| B. | Articles of Association |
| C. | Certificate of Incorporation |
| D. | Prospectus |
| Answer» A. Memorandum of Association | |
| 117. |
A document which is submitted by an issuer company who intends to have public offerings of securities is called |
| A. | Abridged Prospectus |
| B. | Red Herring Prospectus |
| C. | Shelf Prospectus |
| D. | Deemed Prospectus |
| Answer» B. Red Herring Prospectus | |
| 118. |
Part of authorized capital which is actually offered to the public for sale is called |
| A. | Paid-up capital |
| B. | (b) Subscribed capital |
| C. | (c) Issued capital |
| D. | (d)Authorised Capital |
| Answer» C. (c) Issued capital | |
| 119. |
_________are the creditors of the company. |
| A. | Stakeholders |
| B. | Shareholders |
| C. | Preference shareholders |
| D. | Debenture-holders |
| Answer» D. Debenture-holders | |
| 120. |
____________means abandonment of the shares by the holder thereof in favour of the company. |
| A. | Surrender of shares |
| B. | Estoppel |
| C. | Shares takeover |
| D. | Buy back |
| Answer» A. Surrender of shares | |
| 121. |
A ____________ is a director who is entrusted with certain duties and responsibilities. |
| A. | Managing Director |
| B. | Whole time Director |
| C. | Either (a) or (b) |
| D. | Neither (a) nor (b) |
| Answer» B. Whole time Director | |
| 122. |
If there is no quorum within ___________ of the notified time for starting the meeting, it is dissolved. |
| A. | Half an hour |
| B. | One hour |
| C. | One and half hour |
| D. | Two hour |
| Answer» A. Half an hour | |
| 123. |
According to the Act, a quorum in a public company is constituted by |
| A. | 7 members |
| B. | 5 members |
| C. | 2 members |
| D. | 8 members |
| Answer» B. 5 members | |
| 124. |
Any member, entitled to attend and vote in a meeting, can appoint another person to attend and vote on his behalf, the person appointed is called- |
| A. | Directors |
| B. | Voters |
| C. | Shareholders |
| D. | Proxy |
| Answer» D. Proxy | |
| 125. |
A written record of the proceedings of a meeting is called- |
| A. | Resolutions |
| B. | Notice |
| C. | Agenda |
| D. | Minutes |
| Answer» D. Minutes | |
| 126. |
The first Annual General Meeting of a company may be held within a period of not more than ___________ from the date of its incorporation. |
| A. | 12 months |
| B. | 14 months |
| C. | 16 months |
| D. | 18 months |
| Answer» D. 18 months | |
| 127. |
The ___________________ is a director who is entrusted with substantial powers of management. |
| A. | First Directors |
| B. | Whole Time Directors |
| C. | Managing Directors |
| D. | Board of Directors |
| Answer» C. Managing Directors | |
| 128. |
The Board of Directors can call a general meeting of the members any time by giving not less than- |
| A. | 12 days‟ notice |
| B. | 15 days‟ notice |
| C. | 18 days‟ notice |
| D. | 21 days‟ notice |
| Answer» D. 21 days‟ notice | |
| 129. |
A company shall not appoint any person as its whole time director if: |
| A. | He is an undischarged insolvent |
| B. | He is already a director of other company |
| C. | He is a minor |
| D. | None of the above |
| Answer» A. He is an undischarged insolvent | |
| 130. |
A director may be removed from his office by: |
| A. | The shareholders |
| B. | The Company Law Board |
| C. | The Central Government |
| D. | All of the above |
| Answer» D. All of the above | |
| 131. |
Which of the following section defines a managing director: |
| A. | Sec. 296 (1) |
| B. | Sec. 2 (26) |
| C. | Sec. 26 (2) |
| D. | Sec. 6 (22) |
| Answer» B. Sec. 2 (26) | |
| 132. |
No company shall appoint any individual as its managing director for a term exceeding: |
| A. | 3 years at a time |
| B. | 5 years at a time |
| C. | 4 years at a time |
| D. | 2 years at a time |
| Answer» B. 5 years at a time | |
| 133. |
A director who is known as an executive director is: |
| A. | Manager |
| B. | Whole time director |
| C. | Managing director |
| D. | None of the above |
| Answer» B. Whole time director | |
| 134. |
The meetings of a company can be classified as: |
| A. | Meetings of the shareholders |
| B. | Meetings of debenture holders |
| C. | Meetings of directors |
| D. | All of the above |
| Answer» D. All of the above | |
| 135. |
The most method to ascertain the sense of a meeting and commonly used voting method at company meeting is: |
| A. | Voting by show of hands |
| B. | Voting by Poll |
| C. | Voting by secret ballot |
| D. | None of the above |
| Answer» A. Voting by show of hands | |
| 136. |
The official record of the proceedings of the meetings of directors or shareholders of a company is: |
| A. | Resolution |
| B. | Meetings |
| C. | Quorum |
| D. | Minutes |
| Answer» C. Quorum | |
| 137. |
Any invitation issued to the public inviting it to deposit money with the company or to take share or debentures of the company such invitation may be in the form of a document or a notice, circular, advertisement etc is known as |
| A. | Prospectus |
| B. | Documents |
| C. | Promotion |
| D. | All of the above |
| Answer» B. Documents | |
| 138. |
A subsidiary company can be a member of the holding company also. |
| A. | True |
| B. | False |
| C. | undefined |
| D. | either (a) or (b) |
| Answer» A. True | |
| 139. |
A person who has control over the affairs of the company, directly or indirectly whether as a shareholder, director or otherwise |
| A. | Promoter |
| B. | Manager |
| C. | Owner |
| D. | None of the Above |
| Answer» B. Manager | |
| 140. |
A borrowing made by a company from a particular bank/financial institution. |
| A. | Secured Borrowing |
| B. | Bilateral borrowing |
| C. | Private borrowing |
| D. | Public borrowing |
| Answer» C. Private borrowing | |
| 141. |
Bonds which are sold at a discount from its eventual maturity value and have zero interest rate. |
| A. | Zero coupon bonds |
| B. | Zero Capital |
| C. | Secured coupon Bonds |
| D. | None |
| Answer» D. None | |
| 142. |
For which type of capital a company pays the prescribed fees at the time of registration? |
| A. | Subscribed capital |
| B. | Authorized capital |
| C. | Paid up capital |
| D. | Issued capital |
| Answer» D. Issued capital | |
| 143. |
Reappointment of Managing director and Whole time director shall not be made earlier than |
| A. | 3 months before the expiry of his term |
| B. | 12 months before the expiry of his term |
| C. | 9 months before the expiry of his term |
| D. | 6 months before the expiry of his term |
| Answer» B. 12 months before the expiry of his term | |
| 144. |
The term Managing Director as defined by Companies Act, 2013, means |
| A. | A director who, by virtue of the articles of a company is entrusted with substantial powers of management of the affairs of the company. |
| B. | A director who, by virtue of an agreement with the company is entrusted with substantial powers of management of the affairs of the company. |
| C. | A director who, by virtue of a resolution passed in its general meeting, or by its Board of Directors is entrusted with substantial powers of management of the affairs of the company |
| D. | All of the above |
| Answer» D. All of the above | |
| 145. |
A company shall not appoint any person as its managing or whole time director who |
| A. | is an undischarged insolvent or has at any time been adjudged insolvent |
| B. | suspends or has at any time suspended payment to its creditors |
| C. | is or has any time been convicted by a court of an offence involving moral turpitude |
| D. | All of the above |
| Answer» D. All of the above | |
| 146. |
No Company shall appoint any individual as its managing director for a term exceeding______ at a time |
| A. | 5 years |
| B. | 2 years |
| C. | 6 years |
| D. | 1 year |
| Answer» A. 5 years | |
| 147. |
A whole-time key managerial personnel shall not hold office in more than __________ at the same time. |
| A. | one company except in its subsidiary company |
| B. | two company in its subsidiary company |
| C. | one company except in its wholly owned subsidiary company |
| D. | none of the above |
| Answer» A. one company except in its subsidiary company | |
| 148. |
If the office of any whole-time key managerial personnel is vacated, the resulting vacancy shall be filled-up by the Board at a meeting of the Board within a period of |
| A. | 3 months from the date of such vacancy |
| B. | months from the date of such vacancy |
| C. | 6 months from the date of such vacancy |
| D. | none of the above |
| Answer» C. 6 months from the date of such vacancy | |
| 149. |
A director or manager in a company may be paid remuneration by way of |
| A. | a specified percentage of the net profits of the company |
| B. | Monthly payment |
| C. | partly by monthly payment and partly at a specified percentage of net profits of the company. |
| D. | (d)All of the above |
| Answer» D. (d)All of the above | |
| 150. |
A person shall not be eligible for appointment as a managing or whole-time director or a manager of a company if he had been detained for any period under the__________ |
| A. | Conservation of Foreign Exchange and Prevention of Smuggling Activities Act, 1974. |
| B. | Prevention of Money Laundering Act, 2001 |
| C. | Foreign Exchange Management Act, 1999 |
| D. | None of the above |
| Answer» A. Conservation of Foreign Exchange and Prevention of Smuggling Activities Act, 1974. | |
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