Multiple choice

Directions: Choose the correct option for the given question:

A company limited by shares has to call the statutory meeting within a period of not less than one month and not more than six months. This period is counted with reference to which of the following?

  1. The date of incorporation.

  2. The date at which the company is entitled to commence business.

  3. The date of actual receipt of certificate of incorporation.

  4. The date of actual commencement of business.
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

The Companies Act requires statutory meeting within 1-6 months of the date company becomes entitled to commence business. This is the date when all statutory requirements are satisfied and business operations can legally begin - not necessarily when actual trading starts.

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