Legal Aspects of Finance - 26

LIST OF ATTEMPTED QUESTIONS AND ANSWERS
True/False
Question Every company has to inform ROC about the place where it keeps books of account.
Correct Answer False
Your Answer True
Multiple Choice Multiple Answer
Question A person can not be appointed as director of the company if :-
Correct Answer He is found to be of unsound mind ,
He is declared as an insolvent , He has not taken qualification shares
Your Answer He is declared as an insolvent , He has not taken qualification shares ,
He is found to be of unsound mind
Select The Blank
Question A member shall have right to apply for operations and mismanagement of the company provided application is made by members not less than ________ or by the members
holding not less than one tenth of total number of shares in the share capital of the company.
Correct Answer 100
Your Answer 120
Multiple Choice Single Answer
Question If there is any delay in filing Form-8 &13 beyond 60 days from the execution of documents for the creation of charge, the company has to make petition to :-
Correct Answer Company Law Board
Your Answer Court
Select The Blank
Question An auditor appointed in a ________ vacancy shall hold office until the conclusion of next annual general meeting.
Correct Answer Casual
Your Answer Urgent
Multiple Choice Single Answer
Question Which report is received by the shareholders annually ?
Correct Answer Directors report
Your Answer Company secretary's report
Multiple Choice Multiple Answer
Question Following Resolutions must be passed by Postal Ballot :-
Correct Answer Alteration in Object Clause , Buyback
of own shares , Variation in rights attached to class of shares
Your Answer Buy-back of own shares , Variation in rights attached to class of shares
True/False
Question No additional fees is payable on increased authorised capital since already paid on original authorised capital.
Correct Answer False
Your Answer True
Multiple Choice Multiple Answer
Question Directors' Responsibility Statement refers to :-
Correct Answer Going concern , Accounting policies, Accounting standards
Your Answer Going concern , Accounting policies, Accounting standards
Match The Following
Question Correct Answer Your Answer
allocable surplus 67% surplus in 67% surplus in the accounting year the accounting
year
salary does not include
travelling
concession
appropriate
government
public sector
establishment
establishment
owned by
government
employee
interim and final
determination of
an industrial
dispute
award does not include
travelling
concession
Multiple Choice Single Answer
Question Proxy form generally should be :-
Correct Answer Duly stamped and signed by all the
joint-holders
Your Answer Signed by all the joint-holders
Multiple Choice Single Answer
Question Maturity period for USD 5 million
scheme is :-
Correct Answer Three years
Your Answer Ten years
Multiple Choice Multiple Answer
Question Describe in brief what does the term
wages include?
Correct Answer Remuneration under any award ,
Settlement between the parties or
order of court , Overtime
Your Answer Remuneration under any award ,
Settlement between the parties or
order of court , Overtime
Select The Blank
Question ________shall certify that they have
reviewed the balance sheet and
profit and loss account.
Correct Answer CEO
Your Answer Treasurer
Multiple Choice Single Answer
Question Company can increase its maximum
number of directors, for which
application is required to be made in
:-
Correct Answer Form no 24
Your Answer Form no 24
Multiple Choice Multiple Answer
Question Board of directors have to take
consent of general meeting for :-
Correct Answer Sale, lease or dispose of company's
property , Give time to repayment of
debt due by director , Contribute to
charitable funds exceeding Rs
50000/- or 5% of average net profits
Your Answer Give time to repayment of debt due
by director , Contribute to charitable
funds exceeding Rs 50000/- or 5%
of average net profits , Sale, lease or
dispose of company's property
True/False
Question A piece rated worker is entitled to
bonus.
Correct Answer True
Your Answer True
Select The Blank
Question ________ shall lay before the AGM,
the statement of Income &
Expenditure in place of Profit &
Loss a/c.
Correct Answer Charitable Trust
Your Answer Charitable Trust
Select The Blank
Question Copies of annual accounts are to be
filed within ________ days from
AGM with ROC.
Correct Answer 30 days
Your Answer 21 days
Multiple Choice Single Answer
Question In each board meeting director is
paid by remuneration, which is
known as :-
Correct Answer Sitting fees
Your Answer Salary
Select The Blank
Question Liability clause can be found in
________.
Correct Answer Memorandum of Association
Your Answer Companies Act
Multiple Choice Multiple Answer
Question The penalties are levied for which
offences done?
Correct Answer Pay less than minimum wages , Pay
less than fixed wages , Contravenes
any rule or order
Your Answer Pay more than fixed wages , Pay
less than minimum wages , Pay less
than fixed wages
True/False
Question Debenture holders are creditors of
the company.
Correct Answer True
Your Answer True
Multiple Choice Single Answer
Question If an auditor after his appointment
becomes subject to any of the
disqualifications, it is treated that
the office is :-
Correct Answer Vacated
Your Answer Vacated
Multiple Choice Single Answer
Question Unless the articles of association
otherwise provide, every director
has to hold the shares of nominal
value of Rs.:-
Correct Answer 5000/-
Your Answer 5000/-
Multiple Choice Multiple Answer
Question What are the general provisions for
punishment of other offences?
Correct Answer Section 22 provides for the
provision , Punishable with fine , Rs
500 fine
Your Answer Section 22 provides for the
provision , Punishable with fine , Rs
500 fine
Select The Blank
Question As per section ________ it is
obligatory on every person
responsible for payment.
Correct Answer 4
Your Answer 4
Select The Blank
Question The auditor has to give his report
that the accounts of the company
gives ________.
Correct Answer True & Fair view
Your Answer True & Possible view
True/False
Question Owned foreign exchange is not
permitted.
Correct Answer False
Your Answer True
True/False
Question In case of Postal Ballot, result is
announced through post.
Correct Answer False
Your Answer True
True/False
Question Companies listed on recognized
stock exchange are not allowed to
invest in foreign companies.
Correct Answer False
Your Answer True
Multiple Choice Multiple Answer
Question Borrowings for Indian companies
are for :-
Correct Answer In Rupees , On repatriation , Nonrepatriation
Your Answer In Rupees , On repatriation , On
Payments made
Select The Blank
Question To avoid conflicts of interest,
________ committee would
determine the remuneration
packages of the executive directors.
Correct Answer Remuneration
Your Answer Board members
Match The Following
Question Correct Answer Your Answer
Section 2(vi) Wages Wages
Wages act 1936 1958
Factories act 1948 Leave
Section 3 of
wages act
Every employer
responsible for
payment to
employed
persons
1948
Multiple Choice Multiple Answer
Question Which committees are considered
for calculating the limit of the
companies
Correct Answer Audit committees , Remuneration
Committee , Shareholders
Grievance Committee
Your Answer Audit committees , Remuneration
Committee , Shareholders
Grievance Committee
Multiple Choice Multiple Answer
Question Remuneration to the director may be
paid :-
Correct Answer Monthly , Quarterly , Annually
Your Answer Monthly , Quarterly , Annually
Multiple Choice Multiple Answer
Question The register in respect of every
investment or loan made, contains
Correct Answer The name of body corporate , The
amount, terms & conditions &
purpose of investment or loan or
security or guarantee , The date on
which the investment or loan has
been made
Your Answer The name of body corporate , The
amount, terms & conditions &
purpose of investment or loan or
security or guarantee , The date on
which the investment or loan has
been made
Multiple Choice Multiple Answer
Question Books of account with respect to
following are required to be kept :-
Correct Answer Money received & expended , Sales
& purchases of goods , Assets &
liabilities
Your Answer Shares of the company bought &
sold by the members , Money
received & expended , Sales &
purchases of goods
True/False
Question Indian companies are exempted
from filing a return by ECB-2.
Correct Answer False
Your Answer True
Select The Blank
Question The minimum wages to the
obligations created by the
convention no 26 of ________.
Correct Answer International labour organisation
Your Answer International labour organisation
Multiple Choice Single Answer
Question What do you mean by accounting
year?
Correct Answer Day on which books of accounts of
the corporation are closed
Your Answer Day of incorporation of the
company
Multiple Choice Single Answer
Question Quorum required to hold a valid
meeting can be prescribed in :-
Correct Answer Articles of Association
Your Answer Ordinary Resolution
Multiple Choice Single Answer
Question A director can hold place of profit
by :-
Correct Answer Special resolution
Your Answer Special resolution
Multiple Choice Single Answer
Question Any contravention of provisions of
FEMA will attract penalty upto :-
Correct Answer Rs. 200000
Your Answer Rs. 100000
Select The Blank
Question For making alterations before ROC,
________ is required.
Correct Answer Power of Attorney
Your Answer Resolution authorising alteration
True/False
Question Acquiring foreign security on gift is
allowed.
Correct Answer True
Your Answer True
True/False
Question An independent director is an
executive of a company in the
immediately preceding 3 financial
years of the company.
Correct Answer False
Your Answer True