Indian Companies Act — Part 1 MCQs with Explanations

Memorandum of Association is the correct answer to “Which among the following is regarded as the most important document of a company”. This question is standard in competitive examination syllabi for Indian Companies Act.

Cumulative preference shares is the correct answer to “When there is no profit in one year or the profit of a company is not enough to pay the fixed dividend on preference shares, the arrears of dividend are to be carried forward and paid before a dividend is paid on the ordinary shares. This is called:”. This question is standard in competitive examination syllabi for Indian Companies Act.

1 share is the correct answer to “Under the Companies Act every person subscribing to the Memorandum of a company must take at least”. This question is standard in competitive examination syllabi for Indian Companies Act.

Authorising the formation of corporations for the purpose of engaging in any lawful enterprise, business, pursuit, or occupation, is not restricted in meaning to a scheme for making money, but includes any object consistent with the interest of society is the correct answer to “What do you mean by pursuit”. This question is standard in competitive examination syllabi for Indian Companies Act.

After obtaining certificate of commencement of business is the correct answer to “A public company can borrow money”. This question is standard in competitive examination syllabi for Indian Companies Act.

Up to date of expiry of term of office of outgoing Director is the correct answer to “A Director appointed to fill up casual vacancy will hold office”. This question is standard in competitive examination syllabi for Indian Companies Act.

Corporate identification number is the correct answer to “On incorporation of a company, the Registrar of Companies, in addition to the Certificate of Incorporation, issues a unique identification number, namely . . . . . . . .”. This question is standard in competitive examination syllabi for Indian Companies Act.

Certification of incorporation is the correct answer to “A Private company can commence business as soon as it receives”. This question is standard in competitive examination syllabi for Indian Companies Act.

A public company limited by share is the correct answer to “Articles of Association are not to be registered in case of”. This question is standard in competitive examination syllabi for Indian Companies Act.

Constitution is the correct answer to “Memorandum of a company under the Company Law is like a”. This question is standard in competitive examination syllabi for Indian Companies Act.

Companies Act is the correct answer to “Article of Association is a concept in”. This question is standard in competitive examination syllabi for Indian Companies Act.

Provisional contracts is the correct answer to “Contracts made after incorporation of a public company, but before issuing the certificate of commencement of business are . . . .”. This question is standard in competitive examination syllabi for Indian Companies Act.

Only (3) and (4) are correct is the correct answer to “Find answer by using given below: Director may be removed by (a) Other Directors (b) Creditors (c) Central Government (d) Shareholders in a general meeting”. This question is standard in competitive examination syllabi for Indian Companies Act.

All of the above is the correct answer to “Which of the following activities cannot be considered as relating to social responsibility under Section 135 of the Companies Act, 2013”. This question is standard in competitive examination syllabi for Indian Companies Act.

7 is the correct answer to “Minimum number of members required to apply for incorporation Certificate in a Public Ltd. Company is:”. This question is standard in competitive examination syllabi for Indian Companies Act.

A company having a net profit of 5 crore or more, a net worth of 500 crores and a turnover of rupees 1000 crore or more is the correct answer to “Which of the following Companies will have to constitute Corporate Social Responsibility Committee under the Companies Act, 2013”. This question is standard in competitive examination syllabi for Indian Companies Act.

Company Secretary is the correct answer to “A company having paid-up share capital of rupees ten lakhs or more is required to submit a certificate to the Registrar of Companies. This certificate is called Compliance Certificate. By whom this certificate is issued”. This question is standard in competitive examination syllabi for Indian Companies Act.

Choose law is the correct answer to “In the conflict between equity on one hand and the text of law on the other, the court shall”. This question is standard in competitive examination syllabi for Indian Companies Act.

National Financial Reporting Authority is the correct answer to “Which among the following authorities is vested with the power to investigate on matters of professional misconduct committed by a Chartered Accountant or a Chartered Accountant's Firm under Section 132 of the Companies Act, 2013”. This question is standard in competitive examination syllabi for Indian Companies Act.

Only (4) is correct is the correct answer to “Which of the following statement is correct? Answer using given below: (1) Doctrine of indoor management apply in case of knowledge of irregularity in company. (2) Doctrine of indoor management does not apply in case of suspicion of irregularity. (3) Doctrine of indoor management apply in case of forgery. (4) Doctrine of indoor management does not apply if the act of an officer of a company is one which would ordinarily be beyond the powers of such an officer.”. This question is standard in competitive examination syllabi for Indian Companies Act.

All (1), (2), (3) and (4) is the correct answer to “The Central Government has been empowered to conduct investigation into the affairs of the company under section 210 of the Companies Act 2013 (1) On the report of Registrar of Companies (2) In public interest (3) On passing of the special resolution (4) On order of the court or tribunal Select the correct answer:”. This question is standard in competitive examination syllabi for Indian Companies Act.

The activities should be confined within the objects as specified in the Memorandum of Association is the correct answer to “In what way the doctrine of ultra vires is applied to the companies”. This question is standard in competitive examination syllabi for Indian Companies Act.

As such it never dies is the correct answer to “Which of the following is true about an incorporated company”. This question is standard in competitive examination syllabi for Indian Companies Act.

Royal British Bank v. Turquand is the correct answer to “In which of the following cases, the doctrine of Indoor Management was laid down”. This question is standard in competitive examination syllabi for Indian Companies Act.

Article of Association is the correct answer to “It deals with the Internal Management and Affairs of company:”. This question is standard in competitive examination syllabi for Indian Companies Act.

Section 241 is the correct answer to “The provision of Companies Act, 2013 relating to application to Tribunal for prevention of oppression and mismanagement is contained in”. This question is standard in competitive examination syllabi for Indian Companies Act.

When affairs of the company are completely wound up is the correct answer to “For dissolution of a company, the Tribunal shall pass order”. This question is standard in competitive examination syllabi for Indian Companies Act.

Registrar of Companies is the correct answer to “According to section 2(45) of the Companies Act (as amended in 1974), a Company Secretary must possess the qualifications prescribed from time to time by the”. This question is standard in competitive examination syllabi for Indian Companies Act.

National Company Law Tribunal is the correct answer to “An application for prevention of oppression and mismanagement in a company should be made to the”. This question is standard in competitive examination syllabi for Indian Companies Act.

Solomon and Solomon Co. case is the correct answer to “"Company is a separate legal entity." It was laid down in”. This question is standard in competitive examination syllabi for Indian Companies Act.

Companies and limited liability partnerships is the correct answer to “Which two types of business structures are created via a process of incorporation”. This question is standard in competitive examination syllabi for Indian Companies Act.

It shall be calculated as per section 197 and section 381 of the Companies Act, 2013 is the correct answer to “How is the net worth of a foreign Company calculated for the purpose of Corporate Social Responsibility”. This question is standard in competitive examination syllabi for Indian Companies Act.

Board of Directors is the correct answer to “The proper authority for convening a General Meeting of a company is the”. This question is standard in competitive examination syllabi for Indian Companies Act.

Within nine months from the date of closing of the first financial year is the correct answer to “The first Annual General Meeting of a Company must be held”. This question is standard in competitive examination syllabi for Indian Companies Act.

Promoters is the correct answer to “With which topic the case of Earlanger v. New Sombero Phosphate Co., is related to the Company Law”. This question is standard in competitive examination syllabi for Indian Companies Act.

From the Data Bank maintained for this purpose is the correct answer to “The Companies Act, 2013 has provided that in listed companies, appointment of independent directors is mandatory and the independent directors will be appointed”. This question is standard in competitive examination syllabi for Indian Companies Act.

Supreme Court is the correct answer to “What is the appellate authority for the order against National Company Law Appellate Tribunal”. This question is standard in competitive examination syllabi for Indian Companies Act.

2 is the correct answer to “According to the new Companies Act, 2013, what is the minimum number of person/s required to form a Private Limited Company”. This question is standard in competitive examination syllabi for Indian Companies Act.

An Expert, whose consent has not been endorsed to the registration and liable in respect of every content in the prospectus is the correct answer to “Which one of the following is incorrect? Any mis-statement made in the Prospectus would attract the liability of the following persons under the Companies Act:”. This question is standard in competitive examination syllabi for Indian Companies Act.

10 Public companies at a time is the correct answer to “No person can hold the office of the director in more than . . . . . .”. This question is standard in competitive examination syllabi for Indian Companies Act.