MCQs for CA Final Exam - CAFinal[dot]Org: Complete Learning Portal for CA Final Students

Quiz

Q1. Who shall mandatorily appoint Independent Directors?

Listed Public Company

Public Company having: PUC ? Rs. 10 Cr.; or Turnover ? Rs. 100 Cr.; or Outstanding Loans, Debentures & Deposits ? Rs. 50 Cr.

(a) and (b)

None of the above

Q2. Who shall be eligible to be appointed as Independent Director?

Not a promoter of Holding, Subsidiary or Associate Company

Not related to Promoter or Director of Company, Holding, Subsidiary or Associate Company

Not a promoter of Company, Holding, Subsidiary or Associate Company

(b) and (C)

Q3. Independent Director means a director other than

Managing Director

Whole Time Director

Nominee Director

All of the above

Q4. Every Independent Director shall declare that he meets the criteria of independence in:

1st BM after appointment

declare in 1st BM after change in circumstances affecting independence

1st BM of every year

All of the above

Q5. Who shall be eligible to be appointed as Independent Director?

Not a promoter of Company, Holding, Subsidiary or Associate Company

Not related to Promoter of Company, Holding, Subsidiary or Associate Company

Notrelatedto Director of Company, Holding, Subsidiary or Associate Company

All of above

Q6. On completion of 2 terms, an Independent Director can get appointed as ID only after a gap of

2 years

3 years

5 years

10 years

Q7. What is the term of appointment of an Independent Director?

3 consecutive years

5 consecutive years

Indefinite

As decided by BOD

Q8. Who shall NOT be eligible for being appointed as Independent Director?

Promoter of Company, Holding, Subsidiary or Associate Company

Related to Promoter of Company, Holding, Subsidiary or Associate Company

Related to Director of Company, Holding, Subsidiary or Associate Company

All of above

Q9. To be eligible for being reappointed, an Independent Director shall not be associated with the Company in any manner for a period of

5 years

3 years

2years

10 years

Q10. Independent Director may hold office for .....

3 consecutive terms

1 term with 3 years gap before next

Notmorethan2consecutive terms with a gap of 3 years at least before 3rd term

Not more than 2 consecutive terms at all