LAB QUIZ [PGDM 2013-15, Term-II]

60 minutes
Do as directed
1 mark for each valid/correct point and 1 Negative mark for wrong or invalid answer
Q.1 Personal liability of owner against creditors in: (Write Limited/ Unlimited/ any thing
else?)
Proprietorship Partnership LLP Private Limited Public Limited
Unlimited Unlimited, Joint
& Several
Limited Limited to the
extent unpaid
share
Limited to the
extent unpaid
share

Q.2 Establishment expenses in: (Write Nil/ Low/ Medium/ High / any thing else?)
Proprietorship Partnership LLP Private
Limited
Public
Limited
Nil Low Medium High High
Depends
upon
Nil Capital Capital Capital Capital

Q.3 Annual routine expenses associated in: (Write Nil/ Low/ Medium/ High / any thing else?)
Proprietorshi
p
Partnershi
p
LLP Private Limited Public Limited
Low Low Medium High High
Depend
s upon
Turnover Turnover Turnove
r
Capital/Turnov
er
Capital/Turnover/List
ed

Q.4 Tax liability of owner in: (Write Nil/ any thing else?)
Proprietorship Partnership LLP Private
Limited
Public
Limited
Profit
share
Mutual Nil Nil Nil Nil
Bonus Mutual YES N/A N/A N/A
Gain Mutual YES YES YES YES
Salary Mutual Limited
exemption
YES YES YES

Q.5 Raising capital and fund for the business in: (Own fund/ open to invite others)
Section:
Enrollment No.:
Name: SBS Ahmedabad
Proprietorship Partnership LLP Private
Limited
Public Limited
Own fund Own fund Own
fund/limited
deposit
Own fund/
limited deposit
Open for
public
Q.6 The agreement can be oral, written, tacit, implied or express.
Q.7 Essential elements of contracts are competent parties, legal consideration, & objective,
possibility of performance, written & registered if required, free consent, etc
Q.8 Private Company can start business after obtaining incorporation certificate while public
company can start business after obtaining business commencement certificate.
Q.9 A company works on legal principle of Constructive Notice, ultra virus, lifting of
corporate veil & indoor management
Q.10 A company can reduce its capital after sanction of court but company can increase its
authorised capital by appropriate fees to RoC.
Q.11 A company can change liability clause in MoA by consensus of members if liability of
members are enhanced, but reverse is possible by sanction of creditors.
Q.12 Registration of partnership in Gujarat is voluntary but an unregistered partnership firm
attracts disability like it can not sue third party, partner/s and a partner can not sue firm
and partners.
Q.13 Private Company should have minimum 2 members and 2 number of directors, while
Public Company should have 7 and 3 respectively.
Q.14 Private Company can have maximum 50 members and 12 number of directors, while
Public Company can have 3 and 12 numbers respectively.
Q.15 Under the Contract Act, implied contract are envisaged in situations like finders of the
good, supply of necessaries, payment by interested person, obligation to pay non
gratuitous act and benefit by mistake/coercion.
Q.16 Statutory meeting is necessary only for public company and that is to be held between 1
month & 6 month.