MCQs on SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015 Part - 1

Q.1:- The majority of members of Risk Management Committee shall consist of:

• Members of the Board of directors
• Members of the Audit Committee
• Members of the Nomination Committee
• Members of the Remuneration Committee

Q.2:- All members of audit committee shall be financially literate and at least one member shall have accounting or related financial management expertise:

• at least two members
• at least four members
• at least one member
• at least three members

Q.3:- The omnibus approvals shall be valid for a period _________and shall require fresh approvals after the expiry of one year:

• not exceeding one year
• not exceeding two year
• not exceeding half year
• None of the above

Q.4:- The listed entity shall submit annual audited standalone financial results to the stock exchange(s) for the financial year, from the end of the financial year:

• within seventy five days
• within sixty days
• within thirty days
• within forty five days

Q.5:- The listed entity shall maintain containing the basic information about the listed entity:

• a non-functional website
• a website
• a functional website
• None of the above

Q.6:- The provisions of SEBI(LODR) Regulations relating to the Risk Management Committee shall be applicable to:

• Top 300 listed entities, determined on the basis of market capitalisation
• Top 100 listed entities, determined on the basis of market capitalisation
• Top 500 listed entities, determined on the basis of market capitalization
• Top 200 listed entities, determined on the basis of market capitalisation

Q.7:- The board of directors of the top 1000 listed entities (with effect from April 1, 2019) and the top 2000 listed entities (with effect from April 1, 2020) shall comprise of:

• not less than eight directors
• not less than six directors
• not less than two directors
• not less than four directors

Q.8:- The listed entity shall submit a compliance certificate to the exchange, ,_________ certifying compliance that all activities in relation to share transfer facility are maintained either in house or by Registrar to an issue and share transfer agent registered with the Board:

• within three months of end of each half of the financial year
• within two months of end of each half of the financial year
• within fifteen days of end of each half of the financial year
• within one month of end of each half of the financial year

Q.9:- The compliance certificate shall be furnished to the SEBI by:

• The Chief Executive Officer and Company Secretary
• The Chief Financial Officer only
• The Chief Executive Officer and Chief Financial Officer
• The Chief Executive Officer and any of the director authorized by the Board of Directors

Q.10:- The listed entity shall submit to the stock exchange(s) a statement showing holding of securities and shareholding pattern separately for each class of securities, of the listed entity resulting in a change exceeding two per cent of the total paid- up share capital:

• within twenty days of any capital restructuring
• within five days of any capital restructuring
• within ten days of any capital restructuring
• within fifteen days of any capital restructuring

Q.11:- The risk management committee shall meet:

• at least once in a year
• at least once in a period of three quarters
• at least once in a quarter
• at least once in a half year

Q.12:- All directors of the nomination committee/remuneration shall be:

• Nominee directors
• Alternate directors
• non-executive directors
• Executive directors

Q.13:- The Board of directors of the top 500 listed entities shall have by April 1,2019:

• at least one independent woman director
• one independent woman director
• one woman director
• at least one woman director

Q.14:- A listed entity shall appoint as the compliance officer:

• an advocate
• a qualified company secretary
• a qualified chartered accountant
• a qualified cost accountant

Q.15:- The nomination/ remuneration committee shall meet:

• at least once in three quarter year.
• at least once in a quarter
• at least once in a year.
• at least once in a half year

Q.16:- The listed entity shall submit a quarterly compliance report on corporate governance to the recognised stock exchange(s) from close of the quarter:

• within fifty days
• within fifteen days
• within thirty days
• within forty five days

Q.17:- The quarterly financial results submitted to the stock exchange(s) shall be approved by:

• The Board of Directors
• The Audit Committee
• The Stack Holders Committee
• The Risk Management Committee

Q.18:- The listed entity shall give notice in advance of (excluding the date of intimation and the record date) to stock exchange(s) of record date specifying the purpose of the record date:

• At least seven days
• At least seven working days
• At least three days
• At least three working days

Q.19:- Each rating obtained by the listed entity with respect to non-convertible debt securities shall be reviewed:

• at least once in twenty four months by a credit rating agency registered by the Board.
• at least once in eighteen month by a credit rating agency registered by the Board
• at least once a year by a credit rating agency registered by the Board
• at least once in a half year by a credit rating agency registered by the Board

Q.20:- he listed entity shall recommend or declare all dividend and/or cash bonuses (excluding the date of intimation and the record date) before the record date fixed for the purpose:

• at least five working days
• at least seven days
• at least five working days
• at least five days

Q.21:- The Chairperson of the Stakeholders Relationship Committee at the annual general meetings to answer queries of the security holders:

• Shall not be present
• Shall be present
• May not be present
• May be present

Q.22:- The chairperson of the audit committee shall be ______and he shall be present at Annual general meeting to answer shareholder queries:

• an independent director
• an alternate director
• an executive director
• a nominee director

Q.23:- The chairperson of Stakeholders Relationship committee shall be:

• a nominee director
• an executive director
• an additional
• a non-executive director

Q.24:- The compliance with the corporate governance provisions shall not apply, in respect of the listed entity having paid up equity share capital not exceeding Rs 10 crores and Net worth not exceeding as on the previous financial year:

• Rs 50 crores
• Rs 100 crores
• Rs 25 crores
• Rs 75 crores

Q.25:- How many members of audit committee shall be independent directors:

• Two-thirds of the members
• Three members
• One thirds of the members
• None of the above

Q.26:- The Board of directors of the top 1000 listed entities shall have by April 1, 2020:

• one independent woman director
• at least one independent woman director
• one woman director
• at least one woman director

Q.27:- In the case of in-house share transfer facility, as and when the total number of holders of securities of the listed entity the listed entity shall either register with the Board as a Category II share transfer agent or appoint Registrar to an issue and share transfer agent registered with the Board:

• exceeds two lakh
• exceeds three lakh
• exceeds one lakh
• exceeds four lakh

Q.28:- The limited review or audit reports submitted to the stock exchange(s) on a quarterly or annual basis are to be given only by an auditor:

• Who had been the past President of Institute of Chartered Accountants of India
• Who has subjected himself to the peer jreview process of Institute of Chartered Accountants of India
• Who had been the Central Council Member of the Institute of Chartered Accountants of India
• None of the above

Q.29:- The top 100 listed entities by market capitalization, determined as on March 31st of every financial year, shall hold their annual general meetings from the date of closing of the financial year:

• within a period of six months
• within a period of five months
• within a period of three months
• within a period of four months

Q.30:- A transaction with a related party shall be considered material if the transaction(s) to be entered into individually or taken together with previous transactions during a financial year, _______as per the last audited financial statements of the listed entity:

• Exceeds fifteen per cent of the annual consolidated turnover of the listed entity
• Exceeds five per cent of the annual consolidated turnover of the listed entity
• Exceeds twenty per cent of the annual consolidated turnover of the listed entity
• Exceeds ten per cent of the annual consolidated turnover of the listed entity

Q.31:- The top based on market capitalization (calculated as on March 31 of every financial year) shall formulate a dividend distribution policy which shall be disclosed in their annual reports and on their websites:

• Five hundred listed entities
• One Thousand listed entities
• One hundred listed entities
• Three hundred listed entities

Q.32:- The listed entity shall file with the stock exchange the Indian Depository Receipt holding pattern on a quarterly basis of end of the quarter in the format specified by the Board:

• within fifteen days
• within twenty days
• within five days
• within ten days

Q.33:- The audit committee at its discretion shall invite:

• The Head of internal audit
• The statutory auditor
• The Head of the finance function
• All or any of the above

Q.34:- The listed entity shall formulate a vigil mechanism:

• For customer only to report genuine concerns.
• For employees only to report genuine concerns.
• For directors only to report genuine concerns.
• Only B and C are correct

Q.35:- A director shall not be a member across all listed entities in which he is a director:

• in more than ten committees
• in more than twelve committees
• in more than three committees
• in more than five committees

Q.36:- The annual report shall NOT contain:

• Funds Flow Statement10
• Director’s Report
• Statement on Impact of Audit Qualifications
• Management Discussions

Q.37:- The financial results submitted to the stock exchange shall NOT be signed by:

• The Whole Time Director
• The Company Secretary
• The Company Secretary
• The Chairperson

Q.38:- The listed entity shall update any change in the content of its website from the date of such change in content:

• within two working days
• within two days
• within one days
• within one working days

Q.39:- The listed entity shall submit a certificate to the stock exchange of the interest or principal or both becoming due that it has made timely payment of interests or principal obligations or both in respect of the nonconvertible debt securities:

• within two days
• within two days
• within four days
• within three days

Q.40:- SEBI (LODR) Regulations are NOT applicable on:

• Units issued by mutual funds
• specified securities listed on main board or SME Exchange or institutional trading platform
• Indian depository receipts
• American depository receipts

Q.41:- The audit committee shall have as members:

• Minimum three directors
• Four directors
• Minimum four directors
• Three directors

Q.42:- In Stakeholders Relationship committee, __________, with at least one being an independent director, shall be members of the Committee:

• at least four directors
• at least three directors
• at least one director
• at least two directors

Q.43:- The audit committee shall meet and not more than one hundred and twenty days shall elapse between two meetings:

• at least four times in a year
• at least four times in a year
• at least in a year
• at least three times in a year

Q.44:- Were the chairperson of the board of directors is a non-executive director, shall comprise of independent directors:

• at least one-third of the board of directors
• at least one-fourth of the board of directors
• at least one-half of the board of directors
• at least two-third of the board of directors

Q.45:- The Company Secretary shall act as to the audit committee:

• the coordinator
• the speaker
• the secretary
• the arranger

Q.46:- The stakeholders relationship committee shall meet:

• at least once in a period of three quarters
• at least once in a year
• at least once in a quarter
• at least once in a half year

Q.47:- The independent directors of the listed entity shall hold without the presence of non-independent directors and members of the management and all the independent directors shall strive to be present at such meeting:

• at least one meeting in a year
• at least two meetings in a year
• one meeting in a year
• two meetings in a year

Q.48:- The quarterly and year to date results shall be prepared in accordance with the recognition and measurement principles laid down in:

• Accounting Standard 25 or Indian Accounting Standard 31 (AS 25/Ind AS 34 - Interim Financial Reporting) as applicable, specified in section 133 of the Companies Act, 2013
• Accounting Standard 25
• Indian Accounting Standard 31
• None of the above

Q.49:- The listed entity is NOT required to intimate the record date to all the stock exchange(s) where it is listed:

• issue of right or bonus shares
• issue of shares for conversion of debentures
• declaration of dividend
• conversion of debt instrument into equity for already issued convertible debentures

Q.50:- The remuneration committee shall comprise of:

• at least three directors
• at least one director
• at least four directors
• at least two directors