Welcome to your International Navodaya Chamber of Commerce (INCOC) Platform ! Subject: Setting up of Business Entities and Closure Total Number of Question: 40 Time: 41 Minutes Please check your email after completion of test for result. All the best... Name Phone No Email State 1. Which of the following is NOT a characteristic of a private limited company? Restriction on the transfer of shares A minimum of two members No restriction on the maximum number of members Cannot invite the public to subscribe to shares None 2. Which form of business has an unlimited liability feature? Private Limited Company Public Limited Company Partnership Firm One Person Company None 3. The first step in the incorporation of a company is: Applying for the Digital Signature Certificate (DSC) Obtaining a Memorandum of Association (MoA) Appointing the first director Filing an application for GST registration None 4. The liability of shareholders in a private limited company is: Unlimited Limited to the amount unpaid on their shares Limited to company profits Determined by the Registrar of Companies None 5. Which of the following business entities is registered under the Partnership Act, 1932? LLP Private Limited Company Sole Proprietorship Traditional Partnership Firm None 6. A Digital Signature Certificate (DSC) is used for: Physical submission of documents Authenticating electronic filings with government authorities Share trading Company liquidation None 7. Which registration is required for a company to operate in the Import and Export business? MSME Registration IEC Code FSSAI License GST Registration None 8. The purpose of Professional Tax registration is to: Ensure compliance with foreign trade laws Levy a tax on professionals, employees, and businesses Provide income tax benefits Register a company with SEBI None 9. Which of the following is NOT required for obtaining an FSSAI license? GST Registration Address Proof of Business Food Safety Management Plan List of food products handled None 10. Which authority grants a trademark registration in India? Ministry of Commerce Controller General of Patents, Designs, and Trademarks Reserve Bank of India Securities and Exchange Board of India None 11. The statutory audit of a company is conducted by: Company Secretary Internal Auditor Independent Auditor appointed under the Companies Act Director of the company None 12. A company must hold its first Annual General Meeting (AGM) within: 6 months from incorporation 9 months from the end of the first financial year 12 months from the date of incorporation 18 months from the incorporation date None 13. Which form is used for the appointment of directors in a company? INC-22 DIR-12 AOC-4 MGT-7 None 14. Which of the following records must be maintained by a company? Financial statements Board meeting minutes Shareholder records All of the above None 15. The primary role of an independent director is to: Ensure regulatory compliance Supervise the executive directors Protect the interests of minority shareholders All of the above None 16. Which sector in India is completely restricted for FDI? Retail Banking Agriculture (except certain segments) Lottery business None 17. The automatic route in FDI means: No government approval is required Approval from RBI is mandatory SEBI must approve the investment A special application must be filed with the Ministry of Finance None 18. Which of the following authorities regulates foreign exchange in India? Ministry of Finance SEBI Reserve Bank of India NCLT None 19. Which document is required for a foreign company to establish a branch office in India? Letter of Credit Approval from RBI Memorandum of Understanding GST Registration None 20. Which type of business entity is typically chosen by foreign companies to start operations in India? Sole Proprietorship Private Limited Company HUF Co-operative Society None 21. Which of the following is NOT a mode of winding up a company? Voluntary Winding-up Compulsory Winding-up Strike Off Business Reconstruction None 22. The Insolvency and Bankruptcy Code (IBC) applies to: Individuals only Companies only Both individuals and companies NGOs only None 23. Who initiates corporate insolvency resolution under IBC? The directors of the company The creditors The government The Registrar of Companies None 24. Which professional is appointed to handle the insolvency process? Company Secretary Insolvency Professional Chartered Accountant Chief Financial Officer None 25. Which authority handles company liquidation cases? SEBI National Company Law Tribunal (NCLT) Ministry of Finance Reserve Bank of India None 26. Which of the following business entities can issue shares to the public? Sole Proprietorship Private Limited Company Public Limited Company Limited Liability Partnership (LLP) None 27. The minimum number of directors required for a public company is: 1 2 3 5 None 28. Which of the following entities is required to have at least one resident director in India? LLP Private Limited Company Sole Proprietorship Hindu Undivided Family (HUF) None 29. A startup in India can be recognized under the Startup India initiative for benefits if it is not older than: 3 years 5 years 7 years 10 years None 30. MSME registration is granted under which Act? Companies Act, 2013 The Micro, Small and Medium Enterprises Development Act, 2006 The Factories Act, 1948 The Income Tax Act, 1961 None 31. The mandatory registration for every company under tax laws in India is: Professional Tax IEC Code GST Registration Shop and Establishment Act License None 32. Which of the following documents is required to apply for the Director Identification Number (DIN)? Memorandum of Association Digital Signature Certificate (DSC) Certificate of Incorporation Shareholding Agreement None 33. The penalty for non-filing of annual returns by a company can lead to: Strike-off by the Registrar of Companies Personal liability of directors Both (a) and (b) No penalty None 34. Which compliance is required for a company having more than 100 employees? ESIC Registration EPF Registration Professional Tax Registration All of the above None 35. Which of the following authorities regulates Foreign Direct Investment (FDI) in India? SEBI RBI Ministry of External Affairs NCLT None 36. Foreign companies setting up a Liaison Office in India need prior approval from: Ministry of Finance Reserve Bank of India (RBI) Securities and Exchange Board of India (SEBI) Competition Commission of India (CCI) None 37. Which section of the Companies Act, 2013 deals with the striking off of companies? Section 248 Section 189 Section 12 Section 72 None 38. What is the minimum default amount required to initiate Corporate Insolvency Resolution Process (CIRP) under IBC, 2016? ₹10,000 ₹1 lakh ₹10 lakh ₹1 crore None 39. Which of the following is NOT a reason for compulsory winding up of a company? Inability to pay debts Voluntary decision by shareholders Conducting unlawful business activities Change in business name None 40. Under the Insolvency and Bankruptcy Code (IBC), 2016, the resolution process should be completed within how many days? 90 days 180 days 270 days 330 days None 1 out of 4 Great job on taking the INCOC Test! We appreciate your interest in test. Look out for results and future opportunities. Stay Connected !! Your quiz time is about to finish. Few seconds left. Time's upYou cannot switch tabs while taking this quiz!You are not allowed to switch tabs violation has been recorded.you cannot minimize full screen mode!You are not allowed to minimize full screen while taking this quiz, violation has been recorded.Access denied! 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