CBSE Class 11 Business Studies Forms of Business Organization And Formation of A Company Question Bank

FORMS OF BUSINESS
ORGANISATION & FORMATION OF A COMPANY

1. Define sole proprietorship 

2.  There are certain business that require license to start a business as a sole trader. Name any two.

3. Salvira wants to open a beauty parlour in her locality. Which form of business organization is suitable for her?

4. Give the name of the members of the family who are having equal ownership rights over the property of ancestors.

5. Mr. Ram, owner of HUF business, does not have a son. If he adopts a male child, can he be treated as a co-parcener?

6.  Which school of Hindu Law allows both the male and female members of the family to be co-parceners?

7.  Which school of Hindu Law allows only the male members to be co-parceners in the business?

8. Mr. Ravi, owner of a chain of restaurants, celebrates the occasion of marriage of his daughter. Can he gift HUF property to his daughter in her marriage? Discuss.

9. Define Partnership. 

10.  Can an unregistered firm file a suit against partners? 

11 Who issues the Certificate of Registration to a firm? 

12. Can a minor be a partner? 

13. “ If the business fails, the creditors can recover their dues from the personal property of any one of the partners”. Name the characteristic of partnership which is hidden in quoted lines.

14. “ Partnership comes to an end with the death, retirement, lunacy of any partner’. Identify which limitation is highlighted in the quoted lines.

15. Define a cooperative society. 

16. How does a cooperative society obtain its capital? 

17. Who control the functioning of the cooperative society? 

18. Give the principles on which a cooperative society works. 

19. Which act governs the company form of organization?

20. Define a joint stock company. 

21. Why is a company called an artificial person? 

22. The liability of a member of a company is limited up to which amount? 

23. Is it necessary for a public company to get its shared listed on a stock exchange?

24. Which societies are established to help small producers in selling their products?

25. Why is it said that sole proprietor is a sole risk bearer and profit recipient? 

26. HUF business suffers from the disadvantage of centralization of power. Do you agree? Give reasons in support of your answer.

27. “The partners of a partnership firm are jointly and individually liable for the debts of the firm”. Discuss.

28. Give the distinct features of general partnership. 

29. Give the features of limited partnership.

30. Give the features of partnership at will and particular partnership. 

31. Why is it necessary to have a partnership deed? 

32. You are giving a speech on the drawbacks of cooperative societies. In context to it, state some of the drawbacks that you may elaborate.

33. Why it is said that companies have a separate legal entity? 

34. Explain with the help of an example, how is the liability of members in a joint stock company limited.

35. To promote a company, what series of steps are required to be conducted? 

36. What do you understand by statement in lieu of prospectus? 

37. “MoA is significant for a company”.Discuss. 

38. What do you understand by qualification shares? 

39. Explain briefly the relevance of the Certificate of Incorporation. 

40. Explain briefly the relevance of the Certificate of Commencement of business. 

41. Laksha Limited issued prospectus, inviting people to subscribe for its shares. It came up with public issue of Rs.30 crores of 30 lakh shares worth Rs.100 each. It received applications for 15 lakh shares. Should the company proceed with allotment of shares.

42. Kavya is a female. Her grandfather deals in the business of garments and her father is the member of the same. She is the only daughter of her parents. Is she eligible to enter her family business? Comment.

43. One of your friends wants to start a partnership firm. In order to prove that his decision is good, what motivational reasons you would provide?

44. State the duties of a promoter. 

45. `One-man control’ is the best advantage in sole proprietorship business. Discuss.

46. Distinguish between Memorandum of Association and Articles of Association. 

47. Give the differences between sole proprietorship and partnership. 

48. Briefly explain important features of sole proprietorship.

49. Discuss important distinctive features of partnership. 

50. Adharika Limited, a famous group of promoters, gets a contract of promoting a toy manufacturing company. Discuss in brief the steps which are required to be followed to form a toy manufacturing company.

51. Give the difference between public company and private company. 

52. You belong to a middle class family. In order to increase your earning, you want to start a provision store which sells good quality products only. As per your judgement which form of organization is better for you and what values will it serve?

53. Saurabh Publications was a private limited company. The publishing business was growing by leaps and bounds. The demand branches and printing base all over the country. The board members were thinking to offer shares to public to meet investment requirements.

On the basis of above case, answer the following questions.

1. Identify the form of organization which board members are thinking of?
2.What two benefits would be denied, if this form is accepted?
3. What two benefits would be availed, if this form is accepted by the company.

54. Expand HUF. What do you understand by it? Explain its main characteristics. 

55. Explain the various kinds of partners in a partnership firm. 

56. Discuss the limitations of a company organisation 

57. What is Memorandum of Association? State its main clauses.

58. `Promoter is neither the trustee nor the agent of the company’.Comment. 

59. During the incorporation of a company, some documents are to be filed. Explain the documents.

60. A company raises funds from the public to meet its financial requirements. Explain the steps required to raise the funds from the public.

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