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Legal Aspects of Finance_(11)

LIST OF ATTEMPTED QUESTIONS AND ANSWERS

Multiple Choice Single Answer


QuestionIn which of the companies the bonus act is applicable?
Correct Answer More than 20 persons employed
Your Answer More than 20 persons employed

Select The Blank


Question Authorized dealer may freely open ________ and allow remittance for import of goods.
Correct Answer Letter of credit
Your Answer Letter of credit

Multiple Choice Single Answer


QuestionWhich person is responsible for he payment of wages act ?
Correct AnswerManagers
Your AnswerManagers

Multiple Choice Single Answer


QuestionAs per the provisions of Companies Act 1956, company can issue shares with :-
Correct AnswerDifferential voting rights
Your Answer Differential voting rights

Multiple Choice Single Answer


QuestionTo whom does the payment of wages act apply to ?
Correct AnswerPersons employed in any factory
Your AnswerPersons employed in any factory

Multiple Choice Multiple Answer


QuestionWhat sums are deductible from gross profit under section 8?
Correct AnswerAmount by way of depreciation , Employment rebate or investment allowance , Direct tax

Multiple Choice Multiple Answer


QuestionWhat do you mean by wages?
Correct AnswerRemuneration by way of salaries , Allowances , Expressed in terms of money

Multiple Choice Multiple Answer


QuestionWhat does an industrial or other establishment means as per section 2II?
Correct Answer Tramway service or motor transport service engaged carrying passengers of hire or reward , Dock wharf
jetty , Plantation

True/False
QuestionA piece rated worker is entitled to bonus.
Correct AnswerTrue

Multiple Choice Single Answer


Question s
Correct Answer In 1936
Your Answer In 1936

Multiple Choice Single Answer


QuestionNo preference shares can be redeemed unless they are :-
Correct AnswerFully paid up

Multiple Choice Single Answer


QuestionWhat do you mean by establishment on private sector?
Correct AnswerAny establishment other than public sector
Your AnswerAny establishment other than public sector

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Multiple Choice Multiple Answer
QuestionPerson permanently resident in India can return foreign exchange by :-
Correct AnswerFrom AD , Travelling abroad , As a gift
Your AnswerFrom AD , Travelling abroad , As a gift

True/False
QuestionWages include any contribution paid by the employer to any pension fund or provided fund.
Correct AnswerFalse
Your AnswerFalse

Multiple Choice Single Answer


QuestionECB stands for :-
Correct AnswerExternal Commercial Borrowings
Your AnswerExternal Commercial Borrowings

Multiple Choice Single Answer


QuestionDeductions are authorized under which section?
Correct AnswerSection 7(2)
Your AnswerSection 7(2)

Select The Blank


QuestionPayment of ________ requires registration from RBI.
Correct AnswerRoyalty
Your AnswerRoyalty

Multiple Choice Single Answer


QuestionDefine a employed person under section 2 of the act.
Correct AnswerIncludes legal representative of a deceased employed person
Your AnswerIncludes legal representative of a deceased employed person

Multiple Choice Multiple Answer


QuestionDescribe in brief what does the term wages include?
Correct AnswerRemuneration under any award , Settlement between the parties or order of court , Overtime
Your AnswerRemuneration under any award , Overtime , Travelling allowance

Multiple Choice Multiple Answer


QuestionHow can you compute available surplus under section 5?
Correct AnswerGross profit less deductions , Direct tax calculated in accordance to provisions of section 7 in respect to
amount equal to gross profits of the employer for immediately preceding accounting year

True/False
QuestionEvery company has to appoint an auditor to audit the accounts of the company and has to fix remuneration to be
paid to the auditor.
Correct Answer True

Multiple Choice Single Answer


QuestionFEMA Norms are compatible with :-
Correct AnswerFERA

Match The Following


Question Correct Answer
Section 2(vi) Wages
Wages act 1936
Factories act 1948
Section 3 of wages act Every employer responsible for payment to employed persons

Select The Blank


QuestionThe definition of ECB in India is partly in alignment with ________Act.
Correct AnswerFERA
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Select The Blank
QuestionArticles of Association are rules for ________.
Correct AnswerInternal management

Multiple Choice Multiple Answer


QuestionSection 24 provides bar to entertain suits by the court for recovery of wages in so far as the sum claimed falls
within which of the following categories :-
Correct Answer For which any application claim has already been presented , Direction of claim already given' , Amount
adjudged is not due to penalty

Multiple Choice Single Answer


Question What is the minimum salary under which the persons are covered in this act?
Correct Answer Less than Rs 1600
Your AnswerLess than Rs 1600

Select The Blank


Question________ of the company has a right to take inspection of the books of account.
Correct AnswerAny Director
Your AnswerAny Director

True/False
QuestionThe minimum wages act came in force on 15 march 1968
Correct AnswerFalse
Your AnswerFalse

Select The Blank


QuestionThe recommendations of audit committee relating to financial management shall be ________.
Correct Answer Binding
Your Answer Binding

Multiple Choice Multiple Answer


QuestionWho are governed by the payment of wages act?
Correct AnswerEmployed persons , Salary less than 1600 per month
Your AnswerEmployed persons , Salary less than 1600 per month , Salary less than 1200 per month

Multiple Choice Single Answer


QuestionWhat do you mean by accounting year?
Correct AnswerDay on which books of accounts of the corporation are closed
Your AnswerDay on which books of accounts are open

True/False
QuestionDirectors' Report may contain details/ state of affairs of its subsidiaries.
Correct Answer True

True/False
QuestionA part time worker as sweeper engaged in regular business is entitled bonus.
Correct Answer True

Multiple Choice Single Answer


QuestionIn which case did the Bombay high court observe the general purpose of the act?
Correct AnswerArvind mills ltd case
Your AnswerArvind mills ltd case

Select The Blank


QuestionFirst AGM should be held within ________ from closure of financial year.
Correct Answer9 months
Your Answer18 months

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Multiple Choice Single Answer
Question Quorum required to hold a valid meeting can be prescribed in :-
Correct Answer Articles of Association
Select The Blank
QuestionPrivate Company prohibits public to ________ for any shares.
Correct AnswerSubscribe

Multiple Choice Single Answer


QuestionPayment of wages act came into existence :-
Correct AnswerTo ensure regular and timely payment of wages to employed persons
Your AnswerTo ensure regular and timely payment of wages to employed persons

Match The Following


Question Correct Answer
Interim Dividend Board of Directors
Reduction of capital Special Resolution
Appointment of Managing Director Ordinary Resolution
Accounting Standards National Advisory Committee

Select The Blank


QuestionFor making alterations before ROC, ________ is required.
Correct AnswerPower of Attorney
Your AnswerResolution authorising alteration

Multiple Choice Multiple Answer


QuestionWhat is the main purpose of the payment of wages act 1936?
Correct AnswerEnsure payment of wages to the employed , Prevent unauthorized deductions , Prevent arbitrary fines

True/False
QuestionCompany can not issue shares with differential voting/ dividend rights.
Correct AnswerFalse

True/False
QuestionThe Board has power to alter Articles of Association being internal document.
Correct AnswerFalse
Your AnswerTrue

Multiple Choice Multiple Answer


QuestionWhat is the board procedure ?
Correct AnswerMeeting to be held 4 times in a year , Should not be a gap of more than 4 months between 2 meetings ,
Minimum information should be madeavailable

Multiple Choice Single Answer


QuestionWhen was the factories act passed?
Correct AnswerIn 1948

True/False
QuestionNo additional fees is payable on increased authorised capital since already paid on original authorised capital.
Correct AnswerFalse