IMPORTANT QUESTIONS

PART I (1 Marks Questions)

Answer in one word
UNIT – 1
i.
ii. The latest companies act has come into effect from the year ________
iii. A company incorporated by a special act of parliament is called the ________
iv. What is the minimum amount of paid-up capital of a Public Company?
v. The MOA of a company is its _________
vi. What is the amount of penalty for default in obtaining certificate of commencement
of business u/s 11(1)?
vii. Is AOA compulsory or optional for every company?
viii. What is the validity period of shelf prospectus?
ix. The word ‘Company’ is derived from Latin word ______
x. What is the maximum and minimum numbers of members in a private company?
xi. A private company can start business only after getting certificate of ________
xii. Registration of articles is not necessary in case of a _______ company.
xiii. A company is managed by ______
xiv. Is AOA supreme to the Memorandum?
xv. MOA must be signed by _____ subscribers in case of public company, ______ in
case of a private company.
xvi. As per the Companies Act, 2013 both private and public companies have to obtain
__________ .

UNIT – 2
i. Maximum number of directors in a company can be ________.
ii. What is the limit of minimum number of directors for a Private Company?
iii. No person can hold as director of more than _____ Public Company.

UNIT – 3
i. Application money should be __________ of nominal value of share.
ii. What is opening of subscription list?
iii. Call money cannot exceed _____ of nominal value of shares.
iv. There must be at least __________ gap between two calls.
v. Each share certificate must bear the signature of at least ______ number of directors
and ____ secretary.
vi. An equity share is also called as ________ share.
vii. Alteration of Share Capital is governed under which section?
viii. Which share can be converted into share warrants?
ix. Which company cannot impose restrictions on transfer of shares?
 x. Alteration of share capital is governed under which section?
xi. Which shares can be converted into share warrants?
xii. What should be the minimum duration of interval between two successive calls on
share?
xiii. Dividend is paid within _____ days of declaration of dividend.

UNIT – 4
i. Proxy form must be deposited within ________ before the meeting.
ii. The gap between two AGM’s must not be more than ________ months.
iii. The gap between two board meetings must not be more than _______ days.
iv. In one year at least ____ board meetings should be held.
v. There must be _____ AGM held in each year.
vi. Business hours means between __________.
vii. AGM shall be called on any day which is not a ______________.
viii. A company must give at least ____________ days notice for annual general
meeting.
ix. First meeting of BOD must be held within ______ days of its incorporation.
x. The first AGM shall be held within ______ months from the end of the first financial
year.
xi. The general meeting of a company may be called by giving not less than _____
days notice in writing.

PART II (2 Marks Questions)

Answer in two to three sentences
UNIT – 1
i. What is prospectus?
ii. What do you mean by Perpetual Succession?
iii. What is holding company?
iv. What is subsidiary company?
v. What is certificate of incorporation?
vi. Define the term doctrine of ultravires.
vii. Define the term doctrine of constructive notice.
viii. Define the term doctrine of indoor management.
ix. What is meant by AOA of a company?
x. What is meant by MOA of a company?
xi. What is corporate veil?
xii. What is statutory company?
xiii. What is company?
xiv. Who is a promoter?
xv. Define Limited Liability Company
xvi. Define One Person Company
UNIT – 2
i. Who is Manager?
ii. Define the term Company Secretary.
iii. Who is a Director?
iv. What is DIN?
v. What do you mean by Qualification of Shares?

UNIT – 3
i. What are different types of Equity Shares?
ii. What is Calls on Share?
iii. What is Allotment of Share?
iv. What is Minimum Subscription?
v. What do you mean by Equity Shares with Differential Voting Rights?
vi. What is Share?
vii. What is Share Capital?
xiv. What is Debenture?
xv. What is Equity Share?
xvi. What is Preference Share?
xvii. What do you mean by Forfeiture of Shares?
xviii. What is Bonus Share?
xix. What is Right issue of share?
xx. What is meant by Debenture?
xxi. What is letter of Allotment?
xxii. What do you mean by Calls in Arrears?
xxiii. What are convertible debentures?
xxiv. What is Dividend?
xxv. What is Interim Dividend?
xxvi. What are secured debentures?
xxvii. What do you mean by Buy back of Shares?
xxviii. What is secured debentures?
xxix. What are cumulative preference shares?
xxx. What are participating preference shares?

UNIT – 4
i. What is agenda?
ii. What do you mean by AGM and EGM?
iii. Who is proxy?
iv. Who is the chairman of a meeting?
v. What is meant by Quorum?
vi. What is resolution?
vii. What is minute?
 viii. What is notice?
ix. What do you mean by meeting in a company?
x. What is class meeting?
xi. What is special business?
xii. What is ordinary business?
xiii. Who are eligible members to become requisitionists?

PART III (3 Marks Questions)

Answer in 75 words
UNIT – 1
i. Difference between Private Company and Public Company.
ii. What are the duties of Promoters?
iii. What do you mean by Doctrine of Ultravires?
iv. Write a short note on Doctrine of Constructive Notice.
v. Write a short note on Doctrine of Indoor Management.
vi. What is underwriting commission?
vii. What is Minimum Subscription?
viii. List various clauses of MOA.
UNIT – 2
i. Difference between Managing Director and Whole time Director.
ii. Difference between Manager and Managing Director.
iii. Who can be appointed as a director.
iv. State the qualification of a company secretary.
v. Describe the qualifications of a director.
vi. Write a shot note on –
a. Women Director
b. Independent Director
c. Managing Director
d. Whole time Director
e. Company Secretary
f. DIN

UNIT – 3
i. Distinguish between shares and stocks.
ii. Distinguish between Shares and Debentures.
iii. Explain effects of forfeiture of shares.
iv. What are the contents of share warrants?
v. What are the legal restrictions for alteration in share capital?
vi. What are Convertible Debentures?
vii. Difference between Preference Shares and Equity Shares.
viii. Explain the effects of forfeiture of shares.
 ix. What are the legal restrictions for alteration in share capital?
x. What are participating preference shares?
xi. Difference between Share Certificate and Share Warrants.
xii. Difference of transfer and transmission of shares.

UNIT – 4
i. What is the object of preparing an agenda?
ii. Distinguish between special resolution and resolution requiring special notice.
iii. Distinguish between the ordinary resolution and special resolution.
iv. Difference between General meeting and Extra-ordinary general meeting.
v. Write a short note on –
a. E-voting
b. Meeting through video conferencing
c. Meeting of Board of Directors
vi. What is the purpose of Extra-ordinary General Meeting?

PART IV (7 Marks Questions)

Answer in 500 words

UNIT – 1
i. What is company and discuss the various characteristics of company.
ii. Who are the promoters? State the duties and liabilities of promoters.
iii. Briefly discuss different kinds of companies formed under the Indian Companies
Act.
iv. What is AOA? How is it different from MOA?
v. Discuss the legal position of directors.
vi. What are the restrictions on the appointment of directors in Public Company?
Discuss their qualifications and disqualifications in respect of appointment.
vii. What is prospectus? What are the different types of Prospectus?
viii. Who are liable for mis-statements in a prospectus? Explain the extent of civil and
criminal liability for such mis-statements.
ix. Discuss how and to what extent AOA of a company can be altered?
x. What is the procedure of alteration of MOA?
UNIT – 2
i. Define the term Company Secretary? Discuss the duties and responsibilities of a
Company Secretary.
ii. Briefly discuss the provisions of the companies act, regarding appointment of
directors of a company.
iii. How directors are appointed?
iv. What is the procedure of removing a director
 a. By shareholders
b. By tribunal
v. Discuss the liabilities of a director –
a. To the company
b. To the outsiders
vi. Who is director? Discuss the powers and duties of a director.
UNIT – 3
i. Define forfeiture of shares. How can the share of a Company be forfeited?
ii. Define Debentures. Discuss different kinds of Debentures.
iii. State the law regarding declaration and payment of dividend.
iv. What are DVRs? What are the different provisions with respect to the issue of shares
with differential voting rights?
v. What is Preference Share and what are the various kinds of preference share?
vi. Explain the provisions relating to the allotment of shares.
vii. What is Call on Shares? What are the requirements of a valid call?
viii. Define forfeiture of shares? How can the share of a Company be forfeited?
ix. What do you mean by ‘Reduction of Share Capital’? Explain the circumstances and
procedure necessary for reducing the share capital of a Company?
x. Define Debentures. Discuss different kinds of debentures.
xi. State the various laws regarding declaration and payment of dividend.

UNIT – 4
i. What is Annual General Meeting? State the legal provisions regarding calling of
such a meeting.
ii. Define voting. What are the various methods of voting at Company’s Meetings?
iii. What is notice of a meeting? Mention the requisites of valid notice.
iv. What do you mean by meeting? What are the requisites of a valid general meeting?
v. Define the term minutes and discuss the various provisions regarding the keeping
of minutes.
vi. Who is the chairman of a meeting? Explain the powers and duties of the chairman.
vii. What do you mean by proxy? What are the statutory provisions regarding proxies?
viii. What is resolution? What are the various types of resolutions which may be passed
by a company?
ix. What do you mean by extra ordinary general meeting? Who may call such a
meeting?
x. What is meant by quorum? What are the statutory provisions relating to quorum?
xi. Briefly explain the committees formed under the Companies Act, 2013.
xii. What are the different kinds of meeting in a company?