Summary AUE1601 QUIZ 1

1. How long does a company have to ratify a contract, that was entered into. before the
company was incorporated? TOPIC 1

A) Within one month after the date on which the company is incorporated
B) Within two months after the date on which the company is incorporated
C) Within three months after the date on which the company is incorporated
D) Within six months after the date on which the company is incorporated

ANSWER: C


2. Which document is known as the founding document of a company? TOPIC 1

A) Articles of association
B) Memorandum of Incorporation
C) Companies Act
D) Companies Regulation

ANSWER: B


3. How long does a company have to satisfy the Commission that it should be allowed
to continue operating its business, after being issued with a notice that there is
reason to believe that the company is conducting its business recklessly? TOPIC 1

A) within 10 business days
B) within 15 business days
C) within 20 business days
D) within 21 business days

ANSWER: C


4. How long does a company have to prepare its annual financial statements after
year-end? TOPIC 2

A) 12 months
B) 6 months
C) 4 months
D) 3 months

ANSWER: B


5. In terms of section 29 and Regulation 27 which of the following statement is not
applicable with respect to the company’s financial statements? TOPIC 2

A) The financial statement should be in English
B) The financial statement should indicate whether or not the statements have been
audited/independently reviewed