Practice Commercial Laws Questions and Answers

• As per Companies Act, a company may issue Depository Receipt in a foreign country by passing a ___________?
• The capital that is specified in the Memorandum of association of a company is ___________
• Which of the following is not a characteristic of a private limited company under Companies Act, 2013?
• As per Companies Act, 2013, the maximum tenure of secured Debentures is ____
• As per Companies Act, 2013, if the dividend remains unclaimed, a company should transfer the dividend to Unpaid Dividend Account within 7 days of expiry of...
• As per Section 47 of the Companies Act, 2013, every member of a company limited by shares and holding equity share capital therein, shall have a right to v...
• As per the Companies Act 2013,  a public company having  paid–up share capital of at least _________ shall appoint at least one woman director. ...
• The auditor appointed under section 139 may be removed from his office before the expiry of his term only by a special resolution of the company , after ob...
• As per Companies Act, a public company should hold a minimum of _____ Board meetings in a year.
• For calling a meeting of the Board, what is the minimum period of notice to be given in writing to the every director at his registered address?
• The amount payable on application on every security shall not be less than how much of the nominal amount of the security?
• ABC Ltd. has current assets of Rs.8 lakh and current liabilities of Rs.5 lakh. It wants to maintain a current ratio of 2:1. How much current liability shou...
• A company decides to raise money by issue of preference shares. As per the Companies Act, it can issue preference shares with a maximum tenure of ________,...
• As per the Companies Act, IEPF is established by ________ under Section ________ and it can be used for ________.
• Except with the consent of the Board of Directors given by a resolution at a meeting of the Board and subject to such conditions as may be prescribed, no c...
• First meeting of a company is held within_______ days of its incorporation 
• As per the recent Union Budget 2026-27, share buybacks will now be taxed as capital gains for all shareholders with an aim to curb tax arbitrage. Which of ...
• Pursuant to Section 35 of the Companies Act, 2013, which of the following persons shall be held liable to pay compensation to every person who has sustaine...
• According to Section 167 of the Companies Act, 2013, the office of a director shall become vacant in which of the following circumstances? (I)      He...
• Under Section 144 of the Companies Act, 2013, an auditor appointed under the Act is prohibited from providing which of the following services directly or i...
• Which of the following persons is NOT a member of the Selection Committee for the appointment of the Chairperson and Members of the Tribunal/Appellate Trib...
• Where at any Annual General Meeting (AGM), no auditor is appointed or re-appointed, what is the legal consequence as per Section 139(10)?
• As per the Companies Act, 2013, where a company buy-backs its own shares or other specified securities, it shall extinguish and physically destroy the shar...
• Under the Companies (Share Capital and Debentures) Rules, 2014, a duplicate certificate of shares may be issued if such certificate: (I)         ...
• Which of the following is NOT a ground for disqualification of a person for appointment as an auditor under Section 141(3) of the Companies Act, 2013?
• As per Section 409 of the Companies Act, 2013, which of the following person shall not be qualified for appointment as a Judicial Member of the National Co...
• In accordance with Section 177 of the Companies Act, 2013, the Audit Committee constituted by a listed company shall consist of a minimum of ________ direc...
• Which of the following statements is FALSE regarding Share Capital under the Companies Act, 2013? (I) Every share in a company having a share capital shall...
• X Ltd. successfully completed a buy-back of 20% of its paid-up equity capital and free reserves on June 1, 2025. The company intends to initiate a further ...
• Mr. X is currently a director in 10 Public Companies. He is offered a directorship in Y Ltd., which is a Private Company but a subsidiary of a Public Compa...
• In the event of an Independent Director tendering their resignation, any resulting intermittent vacancy shall be filled by the Board of Directors at the ea...
• SQ Ltd. is a public company with a total sanctioned Board strength of six directors. Five directors are present at a duly convened Board meeting to deliber...
• Alpha Tech Ltd. filed a Shelf Prospectus on April 1, 2026, for a series of debenture issues over the next year. On August 15, 2026, the company created a...
• The Board of Directors of a listed company, Beta Corp, consists of 9 directors. A meeting is called to approve a contract with a firm in which 4 directors ...
• Which of the following is NOT correct about Equity and Preference share?
• Under Section 123 of the Companies Act, 2013, if a company has inadequate profits in the current financial year and intends to declare a dividend out of th...
• Under Section 124(6), shares in respect of which dividend has not been paid or claimed for ________ consecutive years or more shall be transferred by the c...
• As per section 149(3), at least 1 resident director who has stayed in India for _____ on Board is mandatory.
• A person who is, or has been, in practice as a chartered accountant for at least 15 years is qualified to become a ______ of the Tribunal
• Where a company issues shares at a discount (except in the case of Sweat Equity), the company shall be liable to a penalty which may extend to an amount eq...