Level 2: CA Final Law – Part I – Sec A – Chapter 1 & 2 – Appointment, Qualifications & Remuneration of Directors & Managerial Personnel MCQs – Set II

Person disqualified u/s ____ shall not be eligible for appointment as small shareholder directors.

_______ is not required on appointment of First Directors; however, Instruction Kit of DIR-12 requires filing of DIR-12 on incorporation of Company.

The proviso to section _______ states that a company may appoint more than 15 directors after passing a special resolution.

In case of a Government company, the Ministry of Corporate Affairs has clarified vide Notification G.S.R. 463(E) the limit of maximum of 15 directors and their increase in limit by special resolution shall not apply to _____________________

As per section 149(3) of the Companies Act, 2013, every company shall have at least one director who has stayed in India for a total period of not less than _____ days in the Current Financial Year.

Section_____ of the Companies Act, 2013 deals with Appointment and Remuneration of Managerial Personnel Rules, 2014.

A Company may pay a sitting fee to a Director for attending meetings of the Board or Committees thereof, such sum as may be decided by the Board of Directors thereof which shall not exceed ______________ per meeting of the Board or Committee thereof.

The limit of 15 directors and their increase in limit by special resolution shall not apply to _____ Companies

An unlisted public company which is a joint venture, a wholly owned subsidiary or a dormant company will not be required to appoint Independent Directors
The following statement is?

“Small Shareholders” means a shareholder holding shares of nominal value of not more than Rs.________ or such other sum as may be prescribed

The tenure of small shareholders’ director shall not exceed a period of _________ consecutive years and on the expiry of the tenure, such director shall not be eligible for re- appointment.

According to Section 151 of the Companies Act, 2013, read with ________of Companies (Appointment and Qualifications of the Directors) Rules, 2014, a listed company may have one director elected by small shareholders in such manner and on such terms and conditions as may be prescribed.

An independent director who has tendered resignation from the Board shall be replaced by a new independent director within____ from the date of such resignation

A person appointed as a director is required to give his written consent in Form DIR-2 —————- to the company.

In case the articles of a public company do not provide for the retirement of all directors at every annual general meeting, not less than ———————— of the total number of directors shall be liable to retire by rotation.

An additional director appointed by the Board of Directors shall continue to hold the office up to the due date of the next ——————

A person is permitted to hold office as director (including any alternate directorship) in maximum twenty companies of which maximum number of public companies in which he can be appointed as director shall not exceed

To pay remuneration to any one managing director; or whole-time director or manager in excess of 5% of the net profits of the company, which of the following approval are required?

Where an appointment of a managing director, whole-time director or manager is not approved by the company at a general meeting, any act done by him before such approval shall be considered ____________.

A director or manager in a company may be paid remuneration by way of __________.

Primus group of companies has three companies, viz., Primus Rolling Mills Ltd., Primus Steel Pipe Manufacturers Ltd. and Primus Marketing Company Ltd. All the three companies want to appoint Mr. Prem as their managing director. State with reference to the provisions of the Companies Act, 2013 whether such appointments are permissible.

If the office of any whole-time key managerial personnel is vacated, the resulting vacancy shall be filled-up by the Board at a meeting of the Board within a period of _________

To make payment in excess of 11%of net profits as managerial remuneration, which of the following authorizations are is required?

Key Managerial Personnel in relation to a company, include which of the following:

Key Managerial Personnel in relation to a company, do not include which of the following:

Company shall fine a return of appointment of a Managing Director, Whole Time Director or Manager within _______ of the appointment with the Registrar, in Form No. __________.

Any payment made to a manager in pursuance of Sec. 202(1) shall not ______ the remuneration which he would have earned if he had been in office for the remainder of his term or for _______. whichever is _________.

Mr. Financer, is a CEO in a public company. Company is considering a proposal to increase the remuneration payable to Mr. Financer. Which of the following is true in this regard?

As per Sec. 202 of Companies Act, 2013, a company may make payment to ________ by way of compensation for loss of office, or as consideration for retirement from office or in connection with such loss or retirement.

As per Sec. 197(10) of Companies Act, 2013, the company shall not waive the recovery of any sum refundable to it u/s 197(9) unless _________.

The term Manager as defined by Companies Act, 2013, means _______.

A company wants to appoint Mr. X aged 20 years as its Managing director. Which of the following approval will be required as per the provisions of Companies Act, 2013?

As per Sec. 197(3) of Companies Act, 2013, if in any financial year, a company has no profits or its profits are inadequate, the company shall not pay to its directors, including any managing or whole-time director or manager, by way of remuneration __________.

Which of the following is correct in relation to sitting fees of directors as per Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014?

It is not the designation, but the powers entrusted that defines a managing director. By exercising which of the following powers a director can be considered as managing director.

As per Sec. 200 of Companies Act, 2013, ________ may, while according its approval u/s 196, to any appointment or to any remuneration u/s 197 in respect of cases where the company has inadequate or no profits, fix the remuneration within the limits specified in this Act, at such amount or percentage of profits of the company, as it may deem fit.

A whole-time key managerial personnel shall not hold office in more than __________ at the same time.

A managing director, whole-time director or manager shall be appointed and the terms and conditions of such appointment and remuneration payable be approved by the Central Government in case such appointment is at variance to the conditions specified in _________.

As per Sec. 197 of Companies Act, 2013, if any director draws or receives, directly or indirectly, by way of remuneration any sum in excess of the limit prescribed by this section or without approval required under this section, he ____________.

Compensation payable u/s 202(1) of companies Act, 2013 to a managing director shall not be paid in which of the following situations?

ABC Ltd., a listed company having two managing directors, is considering to pay remuneration to both managing directors equivalent to 10.5% of net profits of the company. Company seeks your advice the necessary approval required.

Reappointment of Managing director, Whole time director or Manager shall not be made earlier than _________.

Every whole-time key managerial personnel of a company shall be appointed by means of a __________ containing the terms and conditions of the appointment including the remuneration.

The term Managing Director as defined by Companies Act, 2013, means ________

Maximum period for which a person may be appointed or reappointed at a time as Managing director, Whole time director or Manager in a company shall be ________.

A person shall not be eligible for appointment as a managing or whole-time director or a manager of a company if he had been detained for any period under the__________

A company wants to appoint Mr. X aged 71 years as its Managing director. Which of the following approval will be required as per the provisions of Companies Act, 2013?

The first directors of a public company are appointed by the.

Under the companies Act, which one of the following powers can be exercised by the Board of Directors?

The nominal value of the qualification shares of a director must not exceed.