Company Formation Process
12 Questions
0 Views

Choose a study mode

Play Quiz
Study Flashcards
Spaced Repetition
Chat to lesson

Podcast

Play an AI-generated podcast conversation about this lesson

Questions and Answers

What does the abbreviation plc stand for in the context of HSBC Holdings and Virgin Holdings?

  • Private Limited Corporation
  • Public Limited Company (correct)
  • Profitable Limited Company
  • Pension and Liability Corporation

    • Which stock exchanges is HSBC Holdings listed on, based on the provided text?

  • New York Stock Exchange, Hong Kong Exchanges and Clearing, Bermuda Stock Exchange
  • London Stock Exchange, Hong Kong Exchanges and Clearing, Bermuda Stock Exchange (correct)
  • London Stock Exchange, New York Stock Exchange, Paris Stock Exchange
  • Hong Kong Exchanges and Clearing, Paris Stock Exchange, Bermuda Stock Exchange

    • What is the significance of shareholders having limited liability in a company?

  • Shareholders are only responsible for debts up to the amount they initially subscribed. (correct)
  • Shareholders have unlimited liability regardless of their initial investment.
  • Shareholders can never be called upon to pay any company debts.
  • Shareholders are responsible for all company debts.

    • How much would an initial shareholder pay for 20 fully paid ordinary £1 shares in a UK company?

    <p>£20</p> Signup and view all the answers

    In what scenario can a shareholder be required to pay the remaining balance on partly paid shares in a company?

    <p>When the shares are only partly paid</p> Signup and view all the answers

    How does limited liability affect a shareholder's responsibility in case of a company's bankruptcy?

    <p>Shareholders are only responsible for debts up to the amount they initially subscribed.</p> Signup and view all the answers

    What documents are required to be lodged when forming a company in the UK?

    <p>A Memorandum of Association and Articles of Association</p> Signup and view all the answers

    In the US, what needs to be lodged with the relevant Secretary of State office when forming a company?

    <p>Articles of Incorporation</p> Signup and view all the answers

    How can you distinguish between a public and a private company based on their naming in the UK?

    <p>'Public Limited Company' or 'plc' in the name indicates a public company</p> Signup and view all the answers

    What distinguishes public companies from private companies in terms of share issuance?

    <p>Only public companies are permitted to issue shares to the public</p> Signup and view all the answers

    Can a company be both a public limited company (plc) and listed on a stock exchange?

    <p>Yes, but not all public limited companies are listed on stock exchanges</p> Signup and view all the answers

    Which type of document confirms the intent to form a company in the UK?

    <p>Memorandum of Association</p> Signup and view all the answers

    More Like This

    Use Quizgecko on...
    Browser
    Open
    Browser
    Browser