MRL2601
ASSIGNMENT 2
(COMPLETE
ANSWERS)
SEMESTER 1 2025
- DUE APRIL 2025;
100% TRUSTED
,MRL2601 Assignment 2 (COMPLETE ANSWERS) Semester 1 2025 - DUE April
2025; 100% TRUSTED
Complete, trusted solutions and explanations…WE WISH YOU ALL THE BEST.
QUESTION 1 1.1 Name the different types of companies that are provided for in
the Companies Act 71 of 2008. (5)
1.2 Vela is a shareholder of Impala Ltd. The next annual general meeting will be
held on 13 November 2023. Unfortunately, at the time he will be overseas on a
business trip. Vela would, however, still like to vote on some matters that will be
discussed at the meeting. Advise him regarding the possibility of appointing a
proxy to attend and vote on his behalf at the annual general meeting. Also indicate
the validity requirements for appointment of a proxy. (5) TOTAL: [10 marks]
Question 1:
1.1 Types of Companies Provided for in the Companies Act 71 of 2008 (15 marks)
The Companies Act 71 of 2008 in South Africa provides for various types of
companies. These types are categorized based on the structure and purpose of the
company. The different types of companies as per the Companies Act 71 of 2008 are:
1. Private Companies (Pty Ltd):
o A private company is the most common type of company in South
Africa. It is characterized by having
, a limited number of shareholders (usually no more than 50) and
its shares are not available for public trading.
o The liability of shareholders is limited to the amount unpaid on
their shares.
2. Public Companies (Ltd):
o A public company can be listed on the stock exchange and can offer its
shares to the public. There is no limit on the number of shareholders,
and it is subject to more stringent regulatory requirements than
private companies.
o Shareholders have limited liability, meaning they are only liable for
the unpaid portion of their shares.
3. State-Owned Companies (SOC Ltd):
o These companies are owned by the government, and their purpose is to
carry out specific governmental functions or activities. These
companies are created by the government and are subject to the same
legal provisions as other companies but are often subject to additional
regulations based on their public ownership.
4. Non-Profit Companies (NPC):
o These are companies established for social, educational, religious, or
charitable purposes rather than for profit. Any profits generated by
a non-profit company must be reinvested into the organization's
activities.
o They are exempt from distributing profits to members, directors, or
officers.
5. Personal Liability Companies (Inc):
o A personal liability company is a company where directors and
members are jointly and severally liable
ASSIGNMENT 2
(COMPLETE
ANSWERS)
SEMESTER 1 2025
- DUE APRIL 2025;
100% TRUSTED
,MRL2601 Assignment 2 (COMPLETE ANSWERS) Semester 1 2025 - DUE April
2025; 100% TRUSTED
Complete, trusted solutions and explanations…WE WISH YOU ALL THE BEST.
QUESTION 1 1.1 Name the different types of companies that are provided for in
the Companies Act 71 of 2008. (5)
1.2 Vela is a shareholder of Impala Ltd. The next annual general meeting will be
held on 13 November 2023. Unfortunately, at the time he will be overseas on a
business trip. Vela would, however, still like to vote on some matters that will be
discussed at the meeting. Advise him regarding the possibility of appointing a
proxy to attend and vote on his behalf at the annual general meeting. Also indicate
the validity requirements for appointment of a proxy. (5) TOTAL: [10 marks]
Question 1:
1.1 Types of Companies Provided for in the Companies Act 71 of 2008 (15 marks)
The Companies Act 71 of 2008 in South Africa provides for various types of
companies. These types are categorized based on the structure and purpose of the
company. The different types of companies as per the Companies Act 71 of 2008 are:
1. Private Companies (Pty Ltd):
o A private company is the most common type of company in South
Africa. It is characterized by having
, a limited number of shareholders (usually no more than 50) and
its shares are not available for public trading.
o The liability of shareholders is limited to the amount unpaid on
their shares.
2. Public Companies (Ltd):
o A public company can be listed on the stock exchange and can offer its
shares to the public. There is no limit on the number of shareholders,
and it is subject to more stringent regulatory requirements than
private companies.
o Shareholders have limited liability, meaning they are only liable for
the unpaid portion of their shares.
3. State-Owned Companies (SOC Ltd):
o These companies are owned by the government, and their purpose is to
carry out specific governmental functions or activities. These
companies are created by the government and are subject to the same
legal provisions as other companies but are often subject to additional
regulations based on their public ownership.
4. Non-Profit Companies (NPC):
o These are companies established for social, educational, religious, or
charitable purposes rather than for profit. Any profits generated by
a non-profit company must be reinvested into the organization's
activities.
o They are exempt from distributing profits to members, directors, or
officers.
5. Personal Liability Companies (Inc):
o A personal liability company is a company where directors and
members are jointly and severally liable
