L-8 JOINT STOCK
COMPANY
A. One Word or One
Line Questions
Q. 1. Under
which act companies are governed?
Ans. Companies Act, 2013.
Q. 2. Which form
of organisation is called an artificial person created by lawy?
Ans. Joint Stock Company.
Q. 3. How is a
company an artificial person?
Ans. A company is created by law and has separate
legal entity.
Q. 4. Is it
compulsory for a company to get registered?
Ans. Yes.
Q. 5. Name a
form of organisation where members can transfer their shares without consent
from anyone .
Ans. Joint Stock Company
Q. 6. Give the
name s of Indian Statutory Companies.
Ans. Reserve Bank of India, Life Insurance Corporation
of India, Unit Trust of India, Indian Airline etc.
Q. 7. Indian Oil
Corporation is an example of which type of company?
Ans. Government Company.
Q. 8. Who
contribute s capital in joint stock company?
Ans. Shareholders.
Q. 9. What can
be the maximum number of members in a public company?
Ans. No limit.
Q. 10. How many
minimum members can form of a public company?
Ans. Seven Members.
Q. 11. How much
minimum paid capital is required for a public company?
Ans. Rs.5 lakhs.
Q. 12. Who manage
s the Joint Stock Company?
Ans. Board of Directors.
Q. 13. What is
the minimum and maximum number of members of a private company?
Ans.
A minimum of two members are required and the maximum number is 200.
Q. 14. Name the
type of company where members are restricted to transfer their shares.
Ans. Private company.
Q. 15. How much
minimum paid up capital is required for a private company?
Ans. Minimum of Rs.1 lakh paid up capital.
Q. 16. What is
the minimum number of directors of a private and public company?
Ans. Private company; 2 Public company: 3
Q. 17. What is
minimum quorum of membe rs at tending meeting of a private and a public
company?
Ans. Private
company: 2 members; Public company: 5 members
Q. 18. Define
One Person Company.
Ans. One person company is a company which has only
one peron as member.
Q. 19. How much
maximum paid up share capital of one person company.
Ans. Not more than Rs.50 Lakhs.
Q. 20. What is
the limit of annual turnover of one person company?
Ans. Annual turnover should not exceed Rs.2 crore.
B. Fill in the
blanks
1. A company is an......... person created
by..........
2. In India, Joint Stock Companies are governed
by..........
3. A Joint Stock Company works on ......... basis.
4. ......... company have no need to issue a
prospectus or to file a statement in lieu of prospectus with the registrar.
5. Shareholder s of company is free to dispose of
their.................
6. Maximum number of member s of a private company
is................
Ans. 1.
Artificial, law, 2. Companies Act, 2013, 3.democratic, 4. Private, 5.shares, 6.
200.
C. True or False
1. A company enjoys a separate legal entity from its
member s.
2. Shareholders of a public company is free to dispose
of their shares.
3. A Joint Stock companies works on democratic basis.
4. In India, Joint Stock Companies are governed by
Companies act, 2008.
5. Minimum number of member s of private company is
ten.
6. The name of the Private company end with the words.
‘Public Limited’.
7. Joint Stock Company is managed and controlled by
Board of Directors.
Ans. 1. True, 2. True, 3. True, 4. False, 5. False, 6.
False, 7. True
D. MCQ
1. A public
company must have at least following number of member s.
(a) Six
(b) Two
(c) Seven
(d) Nine
2. The maximum
number of member s in case of private company.
(a) Fifty one
(b) Fifty two
(c) Fifty five
(d) None of the above
3. The number
of member s require to complete a quorum of a private company.
(a) Three
(b) Four
(c) Two
(d) Five
4. Which one of
the following company can issue share warrants?
(a) Public Company
(b) Private Company
(c) Both (a) and (b)
(d) None of the above
5. Which one of
the following is not a limit at ion of Joint Stock Company?
(a) Difficulty in format ion
(b) Lack of quick decisions
(c) Democratic set up
(d) Excessive stat e regulations
Ans .1. (c), 2. (d), 3. (c), 4. (a),5. (c)
