Tag: types of companies - private & public

Questions Related to types of companies - private & public

___________ are the official record of the proceedings of a meeting.

elements of business ownership structures - joint stock company meaning and objectives of public sector enterprises introduction to public sector organisations types of companies - private & public

  1. Meeting notes

  2. Agenda

  3. Notices

  4. Minutes

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Correct Option: D

The term Public Ltd. Company is defined in section _________ of the Companies Act, $2013$.

elements of business public sector enterprises meaning and objectives of public sector enterprises introduction to public sector organisations types of companies - private & public

  1. $2(71)$

  2. $3(1)(iv)$

  3. $3(2)$

  4. $4$

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Correct Option: A
Explanation:

As per section 2(71) of the companies Act 2013 a public limited company is a company which is not a private company and has a minimum paid up share capital of Rs-5,00,000. The minimum number of members in a public limited company are seven and maximum are unlimited. 

The term private company is defined in section ________ of the New Companies Act, $2013$.

elements of business ownership structures - joint stock company meaning and objectives of public sector enterprises introduction to public sector organisations types of companies - private & public

  1. $2(68)$

  2. $3(1)(iii)$

  3. $3(2)$

  4. $4$

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Correct Option: A
Explanation:
As per Section 2(68) of the companies Act 2013, a Private company is a company which has a minimum 2 directors and minimum paid up share capital of rupees 1 lakh  or any higher amount as may be prescribed and which through its articles -
1) Restricts the right to transfer shares 
2) Limits the number of members to 200 (except in case of one person company).

In normal trading circumstances, which of the following would not be found in partner's capital account?

organisation of commerce and management public sector, private sector and global enterprises meaning and objectives of public sector enterprises introduction to public sector organisations types of companies - private & public

  1. Drawings

  2. Interest on revaluation

  3. Profit on revaluation

  4. None of the above

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Correct Option: A

In a private Ltd. co. at the time of incorporation there were 48 members. After than 1 employee joined having 15 debentures and having 2 shares. Did the company Crossed the maximum limit.

organisation of commerce and management public sector, private sector and global enterprises meaning and objectives of public sector enterprises introduction to public sector organisations types of companies - private & public

  1. Yes

  2. No

  3. Nothing written in law about it

  4. None of the above

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Correct Option: B
Explanation:

A private company is the one which has a minimum paid up share capital of Rs. 100000 or such higher capital as prescribed by the Companies Act. Its Article of association mentions that the company restricts the right to transfer its shares; limits the number of its members from 2 to 50.

Thus it is clear that the company did not crossed its maximum limit as there will be 49 members only.

Registrar information is required in case of conversion of _________________.

organisation of commerce and management public sector, private sector and global enterprises meaning and objectives of public sector enterprises introduction to public sector organisations types of companies - private & public

  1. Private to public

  2. Public to private

  3. Both a & b

  4. None of the above

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Correct Option: A
Explanation:

To take that future advantage many public   companies are converting themselves into Private Companies. Section 13 and section 14 of the Companies Act. A public company can be converted into private company only after obtaining its shareholder approval by way of passing of special resolution in general meeting.

Minimum number of directors in case of private company is _________.

organisation of commerce and management public sector, private sector and global enterprises meaning and objectives of public sector enterprises introduction to public sector organisations types of companies - private & public

  1. $1$

  2. $2$

  3. $3$

  4. $4$

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Correct Option: B
Explanation:

The Companies Act prescribed minimum 2 directors for a private and 3 for a public company respectively to constitute a Board.

PSE's are organisations owned by _____________.

commercial applications public sector enterprises meaning and objectives of public sector enterprises introduction to public sector organisations types of companies - private & public forms of business organisation - 2

  1. Joint Hindu Family

  2. Government

  3. Foreign Companies

  4. Private Entrepreneurs

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Correct Option: B
Explanation:

Public sector enterprise ( PSE ) is the enterprise owned by the union government of India or one of the many state or territorial governments or both. These are the enterprises where the holding power of the government is 51% or more. Hence, PSE's are organisations owned by the central government.

Centralised control in MNC's implies control exercised by _____________.

commercial applications public sector enterprises meaning and objectives of public sector enterprises introduction to public sector organisations types of companies - private & public forms of business organisation - 2

  1. Branches

  2. Subsidiaries

  3. Headquarters

  4. Parliament

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Correct Option: C
Explanation:

Multinational corporation ( MNC ) is an organisation who have branches in many different countries but managed wholly from one country i.e. home country. Hence, centralised control in MNC's implies control exercised by the headquarters.

Which of the following is the most important motive of private firms?

commercial applications public sector enterprises meaning and objectives of public sector enterprises introduction to public sector organisations types of companies - private & public forms of business organisation - 2

  1. Sales motive

  2. Maximising output

  3. Profit motive

  4. All the above

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Correct Option: C
Explanation:

The most important motive of private firms is to maximize their profit. The private firms want to increase the level of their profits which helps in the growth of the company.