Formation of a Company — Practice Quiz
CBSE · Class 11 · Business Studies
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Quick Quiz: Formation of a Company
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Who is considered a promoter of a company?
What is the primary purpose of the Memorandum of Association?
What is the purpose of feasibility studies during company promotion?
What does the liability clause in the Memorandum of Association specify?
Sample Questions
What is a Certificate of Incorporation?
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A certificate proving the legal existence of a company
The Certificate of Incorporation is essentially the 'birth certificate' of a company, signifying its legal establishment.
What is the minimum subscription requirement for a public company?
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90% of the issue size
According to SEBI guidelines, a public company must receive applications for at least 90% of its proposed share issue before proceeding with allotment.
What is a One Person Company (OPC)?
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A company with only one person as a member
A One Person Company allows a single individual to form a company with all the benefits of a private limited company.
What is the primary purpose of Articles of Association?
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To provide rules for internal management of the company
Articles of Association contain rules about how the company will be managed internally, including procedures for meetings, directors' powers, etc.
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Sources & Official References
- NCERT Official — ncert.nic.in
- CBSE Academic — cbseacademic.nic.in
- CBSE Official — cbse.gov.in
- National Education Policy 2020 — education.gov.in
Content is aligned to the official syllabus. Refer to the board website for the latest curriculum.
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