Companies Act MCQ Part 6 for SEBI Grade A

July 7, 2020
Companies Act MCQ Part 3 for SEBI Grade A

Dear aspirants,
We are presenting you the Companies Act MCQ Part 6 for SEBI Grade A Companies Act Section of the exam.

Companies Act MCQ Part 6 for SEBI Grade A

Q1. What is the minimum number of directors that a public company should have as per provisions of Companies Act, 2013?

  1. Three
  2. Two
  3. One
  4. Fifteen

Answer: (1)

Q2. What is the minimum number of directors that a private company should have as per provisions of Companies Act, 2013?

  1. Three
  2. Two
  3. One
  4. Fifteen

Answer: (2)

Q3. What is the minimum number of directors that one person companies should have as per provisions of Companies Act, 2013?

  1. Three
  2. Two
  3. One
  4. Fifteen

Answer: (3)
The law requires that every company must have at least 3 directors in case of public limited companies, minimum 2 directors in case of private limited companies and minimum 1 director in case of one person companies.

Q4. What is the maximum number of directors that a company can have as per provisions of Companies Act, 2013?

  1. Three
  2. Two
  3. One
  4. Fifteen

Answer: (4)
A company can have maximum 15 directors unless a special resolution is not passed.

Q5. Every listed public company shall have at least ____ of the total number of directors as independent directors.

  1. One-fifth
  2. One-third
  3. Half
  4. One-tenth
  5. None of the Above

Answer: (2)
Every listed public company shall have at least one-third of the total number of directors as independent directors and the Central Government may prescribe the minimum number of independent directors in case of any class or classes of public companies.

SEBI Grade A Test Series

Q6. An independent director cannot hold office for more than _____ consecutive terms

  1. Four
  2. Three
  3. Two
  4. One

Answer: (3)
No independent director shall hold office for more than two consecutive terms, but such independent director shall be eligible for appointment after the expiration of three years of ceasing to become an independent director

Q7. Every public company has to appoint at least one woman director if it has paid–up share capital greater than ____ or turnover more than _____

  1. 100 crore, 300 crore
  2. 200 crore, 400 crore
  3. 250 crore, 500 crore
  4. 300 crore, 1000 crore

Answer: (1)
The following class of companies are required to appoint at least one Woman Director – 1) every listed company; 2) every other public company having – (a) paid–up share capital of 100 crore rupees or more; or (b) turnover of 300 crore rupees or more

Q8. What is the maximum number of directorship that a person can hold?

  1. 10
  2. 15
  3. 18
  4. 20

Answer: (4)
Maximum number of directorships, including any alternate directorship a person can hold is 20

Q9. What is the maximum number of public companies in which a person can be appointed as a director?

  1. 10
  2. 15
  3. 18
  4. 20

Answer: (1)
The maximum number of public companies in which a person can be appointed as a director shall not exceed ten.

Q10. Every company should have at least one director who has stayed in India for a total period of not less than ____ days in the previous calendar year

  1. 180
  2. 181
  3. 182
  4. 183

Answer: (3)
Every company shall have at least one director who has stayed in India for a total period of not less than 182 days in the previous calendar year

You must also read

Click to go to SEBI Grade A Preparation Page

Tags: Companies Act MCQ Part 6, Companies Act MCQ Part 6 Quiz