Business Organizations and Corporate Governance

Privatisation means reducing government share to 49% or below 49%, thereby transferring control to private stakeholders.

The Golden Handshake Scheme refers to voluntary retirement schemes (VRS) where employees are offered attractive financial incentives and benefits to retire early. It's commonly used during organizational restructuring to reduce workforce numbers without layoffs.

Under the Indian Partnership Act, 1932, registration of a firm is not compulsory for its existence. A partnership firm can be formed and operate without registration. However, registration provides certain benefits like the ability to file suits in court.

 CAG stands for Comptroller and Auditor General

Under Section 5 of Transfer of property act, 1882, living person includes a company or association or body of individuals, whether incorporated or not.

Government is external to the company, but uses financial statements of the company for any purpose relevant.

The head of a Municipal Corporation is called the Mayor. This is the standard nomenclature for urban local bodies in India, where the Mayor serves as the ceremonial head of the Corporation.

In Indian governance context, a Corporation is the municipality of a very big city (usually with population over 1 million). It provides the same services as a municipality but for larger urban areas with more complex administrative needs.

Option (2) is correct: Registration of firm is not compulsory, but in case a firm is not registered, it cannot avail the benefits provided under registration.

The Companies Act 2013 replaced the Company Law Board with National Company Law Tribunal (NCLT) as the specialized forum for oppression and mismanagement complaints. NCLT has jurisdiction over corporate disputes previously handled by High Courts or CLB.

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.

Only public companies limited by shares are NOT required to register Articles of Association - they can adopt Table A of Companies Act as default articles. All other company types (unlimited companies, private companies, companies limited by guarantee) must file their own AoA with MoA at incorporation.

Vouching director remuneration requires verifying: special resolution approving payment (Article of Association compliance), statement of accounts showing remuneration details, and minutes book recording board decision. Central Government approval is needed only in specific cases (excess remuneration under Section 197), not for all remuneration.

Statement 1 is correct - corporate governance norms require public limited companies to establish audit committees. Statement 2 is correct - audit committee members should be independent non-executive directors not representing the controlling group to ensure objectivity. Statement 3 is incorrect - dealing directly with the audit committee actually enhances auditor independence by insulating auditors from management pressure. The audit committee acts as a bridge between auditors and management.

Statutory companies are formed under Special Acts (feature 4). Registered companies are regulated by Companies Act provisions (feature 2). Companies limited by shares have member liability limited to share face value (feature 1). Companies limited by guarantee are typically formed for promoting culture, art, science, or religion (feature 3). The correct matching is D.