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A Government Company means any company in which not less than 51% of the paid-up share capital is held by
- a)Central Government
- b)State government
- c)Both a & b
- d)Neither a nor b
Correct answer is option 'C'. Can you explain this answer?
Verified Answer
A Government Company means any company in which not less than 51% of t...
Explanation:
In order to understand the concept of a Government Company, let's break down the given options and their meanings:
A. Central Government:
- The Central Government refers to the national government or the federal government of a country.
- If a company is held by the Central Government and not less than 51% of its paid-up share capital is owned by the Central Government, then it can be considered a Government Company.
B. State Government:
- The State Government refers to the government of a specific state within a country.
- If a company is held by the State Government and not less than 51% of its paid-up share capital is owned by the State Government, then it can be considered a Government Company.
C. Both a & b:
- If a company is held jointly by both the Central Government and the State Government, with not less than 51% of its paid-up share capital being owned by them collectively, then it can be considered a Government Company.
D. Neither a nor b:
- If a company does not fulfill the criteria of being held by either the Central Government or the State Government, with not less than 51% ownership by either of them, then it cannot be considered a Government Company.
Conclusion:
From the above analysis, it can be concluded that the correct answer is option C: Both a & b. A Government Company is a company in which not less than 51% of the paid-up share capital is held jointly by the Central Government and the State Government.
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In order to understand the concept of a Government Company, let's break down the given options and their meanings:
A. Central Government:
- The Central Government refers to the national government or the federal government of a country.
- If a company is held by the Central Government and not less than 51% of its paid-up share capital is owned by the Central Government, then it can be considered a Government Company.
B. State Government:
- The State Government refers to the government of a specific state within a country.
- If a company is held by the State Government and not less than 51% of its paid-up share capital is owned by the State Government, then it can be considered a Government Company.
C. Both a & b:
- If a company is held jointly by both the Central Government and the State Government, with not less than 51% of its paid-up share capital being owned by them collectively, then it can be considered a Government Company.
D. Neither a nor b:
- If a company does not fulfill the criteria of being held by either the Central Government or the State Government, with not less than 51% ownership by either of them, then it cannot be considered a Government Company.
Conclusion:
From the above analysis, it can be concluded that the correct answer is option C: Both a & b. A Government Company is a company in which not less than 51% of the paid-up share capital is held jointly by the Central Government and the State Government.
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A Government Company means any company in which not less than 51% of the paid-up share capital is held bya)Central Governmentb)State governmentc)Both a & bd)Neither a nor bCorrect answer is option 'C'. Can you explain this answer?
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