Page 1 - tmp

MCQ’S

1.A company has ……………
(A) Separate Legal Entity
(B) Perpetual Existence
(C) Limited Liability
(D) All of the Above

2.Shareholders are :
(A) Customers of the Company
(B) Owners of the Company
(C) Creditors of the Company
(D) None of these

3. Who are the real owners of a company?
(A) Government
(B) Board of Directors
(C) Equity shareholders
(D) Debentureholders

4. A Company is created by :
(A) Special act of the Parliament
(B) Companies Act
(C) Investors
(D) Members

5. The liability of members in a Company is :
(A) Limited
(B) Unlimited
(C) Stable
(D) Fluctuating

6. Liability of a shareholder is limited to ………………… of the shares allotted
to him :
(A) Paid up Value
(B) Called up value
(C) Face value
(D) Reserve Price

7. Maximum number of members in a private company is :
(A) 7
(B) 200
(C) 20
(D) No Limit