Test: Companies Act- 2


20 Questions MCQ Test Business Laws for CA Foundation | Test: Companies Act- 2


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This mock test of Test: Companies Act- 2 for CA Foundation helps you for every CA Foundation entrance exam. This contains 20 Multiple Choice Questions for CA Foundation Test: Companies Act- 2 (mcq) to study with solutions a complete question bank. The solved questions answers in this Test: Companies Act- 2 quiz give you a good mix of easy questions and tough questions. CA Foundation students definitely take this Test: Companies Act- 2 exercise for a better result in the exam. You can find other Test: Companies Act- 2 extra questions, long questions & short questions for CA Foundation on EduRev as well by searching above.
QUESTION: 1

Converting a public company into a private company requires a special resolution.

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QUESTION: 2

According to the Companies Act, a foreign company is

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Definition of Company under Companies Act, 2013

Section 2(20): Company means a company incorporated under this Act or under any previous company law.

Definition of Body Corporate under Companies Act, 2013

Section 2(11): Body Corporate or Corporation includes a Company incorporated outside India, but does not include-

i. A co-operative society registered under any law relating to co-operative societies; and

ii. Any other body corporate (not being a company defined in this act), which the Central Government may by notification specify in this behalf.

QUESTION: 3

Legal position of a promoter of a company is.

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QUESTION: 4

A company is said to have been registered when?

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QUESTION: 5

A private Limited company commences business.

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QUESTION: 6

Certificate of commencement of business is not required by.

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QUESTION: 7

The companies (Amendment) Act , 2000 provides new section 292 A for constitution of audit committees by every public company having a paid up capital of.

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QUESTION: 8

An Audit Committee may include.

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QUESTION: 9

Which of the following reports included clause 49 in the listing agreement.

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Correct Answer :- b

Explanation : The Kumar Mangalam Birla Committee report included mandatory Management Discussion & Analysis segment of annual report that includes discussion of industry structure and development, opportunities, threats, outlook, risks etc. as well as financial and operational performance and managerial developments in Human Resource /Industrial Relations front. Clause 49 included this recommendation as a part of management disclosures. Risk Management was however propounded for the first time by the Narayana Murthy Committee (2003) in its report by which it required that the company shall lay down procedures to inform Board members about the risk assessment and minimization procedures. These procedures shall be periodically reviewed to ensure that executive management controls risk through means of a properly defined framework and overlooked by a Risk Management Committee. This is incorporated in Clause 49 as a part of internal disclosures to the Board.

QUESTION: 10

Audit committee shall act in accordance with the terms of reference to be specified by.

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QUESTION: 11

A person cannot be a director of more than …………… as per the Companies (Amendment) Act, 2000.

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QUESTION: 12

The remuneration payable to a whole time director of the company should not exceed.

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QUESTION: 13

The first directors of a public company are appointed by the.

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QUESTION: 14

According to the companies Act, 1956 a Private limited company must have at least ………… directors.

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QUESTION: 15

Maximum managerial remuneration permissible under the Companies Act, 1956 for public limited companies is.

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QUESTION: 16

Under the companies Act, which one of the following powers can be exercised by the Board of Directors?

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QUESTION: 17

Who may be appointed as a director of a company?

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QUESTION: 18

The nominal value of the qualification shares of a director must not exceed.

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QUESTION: 19

According to section 255 of the companies Act, the Directors must be appointed by the.

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QUESTION: 20

The Board of Directors can exercise the power to appoint directors in the case of.

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