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Which statements are correct about Private Limited Company ?

  1. It is governed by the Companies Act 2003
  2. It has a separate legal entity and limited liability.
  3. Its documentation requirements are the lowest among all forms.

    ANone of these

    Bi only

    CAll

    Dii only

    Answer:

    D. ii only

    Read Explanation:

    • Private Limited Company is governed by the Companies Act 2013 and has separate legal entity plus limited liability.

    • It actually has highest documentation requirements.


    Related Questions:

    With reference to Public Organisations, which of the following statements are correct?

    1. Public organisations include government agencies, state-owned enterprises, and municipalities.

    2. They are primarily focused on profit generation rather than public welfare.

    3. Their ownership can be either fully or partially held by central or state governments.

    With reference to Non-Profit Organisations, which of the following statements are correct?

    1. NPOs are expected to be value-based and serve public or social purposes.

    2. They are legally required to distribute profits to shareholders.

    3. Examples include organisations like Pratham and Teach For India, which focus on education.

    Statement: Private sector organizations are not secure in terms of employment stability.
    Assertion: Non-performance or cost-cutting measures can lead to employee termination in private sector organizations.
    Which of the following is correct?

    With reference to Private Organisations, which of the following statements are correct?

    1. Private organisations can raise capital through issuing shares and debentures.

    2. They operate in sectors like information technology, hospitality, and pharmaceuticals.

    3. Their primary motive is to provide public services at subsidized rates.

    Choose the correct statement(s) regarding Non-Profit Organisations (NPOs).

    1. Non-profit organisations are legally exempt from paying taxes due to their social or public service objectives.

    2. Non-profit organisations distribute excess profits to shareholders to ensure financial sustainability.