Tag: private, public and global enterprises

Quizzes (19) Questions (48)

Questions Related to private, public and global enterprises

Multiple choice sectoral organisation of business private, public and global enterprises business studies

Company's corporate personality was brought forward in the case of ___________________.

  1. Macaura V. Northan Assurance Co. Ltd

  2. Jons V. Lipman

  3. CIT V. Meenakshi Mills Ltd.

  4. Salomon V Salomon and Co. Ltd.
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Salomon v Salomon & Co Ltd [1897] AC 22 (law cite link) was the case that got me interested in corporate law. The principle from the case is very simple - a company is a separate legal entity and thus a juristic "person" in the eyes of the law. Piercing the corporate veil refers to a situation in which courts put aside limited liability and hold a corporation's shareholders or directors personally liable for the corporation's actions or debts. Veil piercing is most common in close corporations.

Multiple choice sectoral organisation of business private, public and global enterprises business studies

Issues affecting the privacy of the employee __________________.

  1. Anti-competitive practices

  2. Workplace surveillance

  3. Drug testing

  4. (b) and (c)
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Privacy Issues in the Workplace. Generally speaking, privacy rights are granted (if at all) by specific laws, rules, or regulations. Personnel Records:Employees generally have a right to privacy in their personnel records, except in a few specific circumstances. Employee privacy rights are the rules that limit how extensively an employer can search an employee's possessions or person; monitor their actions, speech, or correspondence; and know about their personal lives, especially but not exclusively in the workplace.

Multiple choice sectoral organisation of business private, public and global enterprises business studies

Which company has a minimum paid up capital of one lakh rupees or higher? 

  1. Government Company

  2. Private Company

  3. Producer Company

  4. Subsidiary Company
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

The Companies Act, 2013 earlier mandated that all Private Limited Companies have a minimum paid up capital of Rs.1 lakh. This meant that Rs.1 lakh worth of money had to be invested in the company by purchase of the company shares by the shareholders to start business.

Paid-up capital is the amount of money a company has received from shareholders in exchange for shares of stock. Paid-up capital is created when a company sells its shares on the primary market, directly to investors.

Multiple choice sectoral organisation of business private, public and global enterprises business studies

What are the limits of number of members in a Private Company?

  1. Fifty

  2. Seven

  3. Twenty

  4. Two hundred
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

This type of entity limits the owner's liability to their ownership stake and restricts shareholders from publicly trading shares. Members: You can start a private limited company with a minimum of only 2 members (and maximum of 200), as per the provisions of the Companies Act 2013. Minimum 2 and Maximum 20 can only be a part of partnership firm while for private limited company, 2 to 50 members in case of Private Company and Minimum 7 members in case of Public Company can be a part and in LLP's there has to be minimum 2 partners and there is no limitation of maximum number of partners.

Multiple choice joint ventures private, public and global enterprises public sector, private sector and global enterprises organisation of commerce and management business studies

Which is true as far as a Joint Venture is concerned?

  1. The dual ownership arrangement may not lead to conflicts, resulting in battle for control between the investing firms.

  2. Foreign firms entering into joint ventures does not share the technology and trade secrets with local firms.

  3. Joint venture is a very common strategy for entering into foreign markets.

  4. All of the above
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

A joint venture is a business entity created by two or more parties, generally characterized by shared ownership, shared returns and risks, and shared governance.

Multiple choice joint ventures private, public and global enterprises public sector, private sector and global enterprises organisation of commerce and management business studies

________ can also be described as any form of association which implies collaboration for more than a transitory period.

  1. Joint venture

  2. Licensing

  3. Contract Manufacturing

  4. Wholly Owned Subsidiaries
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

A joint venture is a business entity created by two or more parties, generally characterised by shared ownership, shared returns and risks, and shared governance.

Multiple choice joint ventures private, public and global enterprises public sector, private sector and global enterprises organisation of commerce and management business studies

_____ makes it possible to execute large projects requiring huge capital outlays and manpower.

  1. Wholly Owned Subsidiaries

  2. Franchising

  3. Joint venture

  4. Contract manufacturing
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Since the joint venture is not a legal entity, it does not enter into contracts, hire employees, or have its own tax liabilities. These activities and obligations are handled through the co-venturers directly and are governed by contract.

Multiple choice joint ventures private, public and global enterprises public sector, private sector and global enterprises organisation of commerce and management business studies

Benefits of joint ventures does not include ______________________.

  1. access to new markets and distribution networks

  2. sharing of risks and costs with a partner

  3. access to greater resources, including specialized staff, technology and finance

  4. the partners have different objectives for the joint venture
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

A joint venture is a temporary business association between two or more persons or organisations for profit without forming a permanent partnership, corporation, or other business entity. Members of the joint venture maintain their independence.

Multiple choice joint ventures private, public and global enterprises public sector, private sector and global enterprises organisation of commerce and management business studies

Success in a joint venture depends on comprehensive research and a detailed analysis of aims and objectives.

  1. True

  2. False
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

  • Employee: If the risks of business ownership scare you and you lack an entrepreneurial spirit, business ownership is likely not for you, whether it be your own.

  • Creative entrepreneur: If you possess a creative mind that feels constricted by boundaries and models, starting your own business is likely your best bet.

  • Executive entrepreneur: If you are comfortable operating within a proven system and value support over autonomous freedom, franchising may be for you.