MCQs on THE COMPANIES ACT, 2013 Part-05

Q.1:- Who among the following is a member of advisory committee?

• Member from MCA
• MLA
• MP
• All of the above

Q.2:- Committee to advise on valuation matters comprises of:

• One member nominated by the Ministry of Corporate Affairs,
• One member nominated by the Securities and Exchange Board of India
• One member nominated by the Reserve Bank of India
• All of the above

Q.3:- A Company shall be eligible to be a registered valuer if It is not a:

• Subsidiary of any other company
• Associate of any other company
• Joint venture of any other company
• All of above

Q.4:- Non-refundable application fee for applying as a Registered Valuers Organization:

• Rs.10,00,000
• Rs. 5,00,000
• Rs. 3,00,000
• Rs.1,00,000

Q.5:- A partnership entity or company shall be eligible to be a registered valuer if:

• All the partners or directors are eligible under rule 3
• Not undergoing an insolvency resolution or is an discharged bankrupt
• Three or all the partners or directors, whichever is lower, of partnership entity or company, are the registered Valuers
• All of the above

Q.6:- The registered valuer may obtain……for his valuation report or get a separate valuation for an asset class conducted from another registered valuer

• Inputs
• Advise
• Views
• Suggestions

Q.7:- The authority shall, either on its own or through a designated agency conduct valuation examination for........ asset classes:,

• One
• Two
• Three
• One or more

Q.8:- A fit and proper person having the following criteria?

• Absence of convictions and restraint orders
• Competence and financial solvency
• Integrity, reputation and character
• All of the above

Q.9:- At least...... partner or director is a registered valuer for the asset class, for which they want to register as registered valuer:

• Four
• Three
• Two
• One

Q.10:- A valuer shall maintain the integrity by being honest, straightforward, and…………… in all professional relationships.

• Fair
• Trustee
• forthright
• Faithfull

Q.11:- The authority may recognise ______ degree course conducted by a University which is equivalent to the valuation examination:

• Post graduate
• Bachelor
• Both a and b
• None of the above

Q.12:- 'Person resident in India' shall have the same meaning as defined in:

• Income Tax Act
• SERI
• FEMA
• Company Act

Q.13:- An individual shall have the following qualifications and experience to be eligible for registration under rule 3, namely:

• A Bachelor's degree + five years of experience in the specified discipline
• Membership of a professional institute established by an Act of Parliament + three years’s Experience
• Post-graduate degree/diploma + three years of experience in the specified discipline
• All of the above

Q.14:- The ____ shall determines the syllabus for various assets classes for the valuation Examination:

• Central Government
• RVO
• IBBI
• Authority

Q.15:- "Equivalent" shall mean professional and technical qualifications which are recognized by the.......... as equivalent to a professional and technical degree:

• Ministry of Finance
• Ministry of Human Resources and Development
• Ministry of Corporate affairs
• All of the above.

Q.16:- If the authority is satisfied, after such scrutiny, inspection, or inquiry as it deems necessary, that the applicant is eligible under these rules, it may grant a certificate of registration to the applicant to carry on the activities of a registered valuer for the relevant asset class or classes in ……… within ………. of receipt of the application.

• Form B, 45 days
• Form C, 45 days
• Form C, 60 days
• Form C, 90 days

Q.17:- In case of offenses by officers of the company in liquidation, such officer shall be punishable with Imprisonment of minimum....... years&maximum………..years.

• 3;5
• 2;5
• 1;3
• None of the above

Q.18:- Settlement of claims of creditors by official liquidator shall be done within…….. days of his appointment

• 15
• 30
• 60
• 90

Q.19:- When the affairs of the company have been completely wound up, the company liquidator shall make an application for the dissolution of such company.

• Tribunal
• CG
• Shareholders
• ROC

Q.20:- Under which of the following circumstances in which company may be wound up by Tribunal?

• if the company has made a default in filing with the Registrar its financial statements or annual returns for immediately preceding five consecutive financial years
• If the Tribunal is of the opinion that it is just and equitable that the company should be wound up
• If on an application made by the Registrar or any other person authorized by the Central Government
• All of the above

Q.21:- A valuer should maintain complete independence in his/its professional relationships and ________ conduct the valuation independent of external influences:

• Will
• Would
• Should
• Shall

Q.22:- A valuer should not deal in securities of any subject company after any time when he/it first becomes aware of the possibility of his/its association with the valuation, and in accordance with the SEBI (Prohibition of Insider Trading) Regulations:

• 2012
• 2013
• 2014
• 2015

Q.23:- Meeting of the Governing Board shall be held with the presence of at least one:

• Independent director
• Director
• Chair person
• Director and one independent director

Q.24:- Which one is Non-Mandatory Valuation for Registered Valuer

• SEBI (REIT)
• IBC
• Income Tax Act
• Companies Act

Q.25:- The Monitoring Policy shall –

• Shall not provide for confidentiality of information received, except when disclosure of information is required by the authority or by law,
• Have not been non-discriminatory.
• Have not due regard for the privacy of members,
• None of the above.

Q.26:- Which is not the duty of a member of RVO?

• Maintain confidentiality of information obtained in the course of his personal activities unless required to disclose such information by law
• Continuously upgrade his professional expertise;
• Be independent and impartial;
• Comply with applicable laws in the performance of his function.

Q.27:- As per which Rule of Companies (Registered Valuers and Valuation) Rules, 2017, the registered valuer shall, while conducting a valuation, comply with the valuation standards as notified or modified under rule 18 for registered valuer has been given in rule no.

• 10
• 08
• 07
• 06

Q.28:- The valuer shall, in his report, state the following except:

• Identity of the office staff and any other experts involved in the valuation
• Purpose of valuation and appointing authority
• Disclosure of valuer interest or conflict, if any
• Background information of the asset being valued

Q.29:- A partnership entity or company eligible for registration as a registered valuer under rule 3 may make an application to the authority in ……….. along with a non-refundable application fee of ………. in favour of the authority

• Form B Rs 5000
• Form B Rs 10000
• Form A Rs 10000
• Form A Rs 5000

Q.30:- If the authority is satisfied, after such scrutiny, inspection or inquiry as it deems necessary, that the applicant is eligible under these rules, it may grant a certificate of registration to the applicant to carry on the activities of a registered valuer for the relevant asset class or classes in......:

• Form-C of the Annexure-II
• Form-C of the Annexure-I
• Form-D of the Annexure-II
• Form-E of the Annexure-II

Q.31:- A valuer while respecting the confidentiality of information acquired during the course of performing professional services shall maintain proper working papers for a period of ……………. or such longer period as required in its contract for a specific valuation, for production before a regulatory authority or for a peer review.

• Five years
• three years
• Two years
• One years

Q.32:- A partnership entity or Company eligible for registration as a registered valuer under rule 3 may make an application to the authority in Form-B of Annexure-ll along with a non-refundable application fee of ........rupees in favour of the authority:

• Rs. 2000
• Rs. 5000
• Rs. 20,000
• Rs. 10,000

Q.33:- An individual who passes the valuation examination shall receive_______of passing the examination:

• Mail
• Mark Sheet
• Acknowledgement
• Certificate

Q.34:- If that the authority is satisfied, after such scrutiny, inspection or inquiry as it deems necessary, that the applicant is eligible under these rules, it may grant a certificate of registration to the applicant to carry on the activities of a registered valuer for the relevant asset class or classes in Form C of the Annexure-II within____ days of receipt of the application.

• 15
• 30
• 45
• 60

Q.35:- When MCA has notified the Companies (Registered Valuers and Valuation) Rules, 2017 w.e.f

• 17.10.2018
• 18.10.2018
• 18.10.2017
• 17.10.2017

Q.36:- A valuer shall maintain records of each assignment undertaken by him for at least ………. from the ……… of such assignment;

• 8 years commencement
• 8 years completion
• 3 years completion
• 5 years completion

Q.37:- No person shall practice as a registered valuer without obtaining a:

• Certificate of recognition
• Certificate of registration
• Certificate of practice
• Certificate of association

Q.38:- What is not a condition to grant a certificate of registration to a Valuer to carry on the activities of a registered valuer?

• Shall maintain records of each assignment undertaken by him for at least five years of assignment.
• He should take adequate steps for Redressal of grievances;
• He should comply with such other conditions as may be imposed by the authority
• All of the above

Q.39:- If an individual has completed fifty years of age and has been substantially involved in at least ten valuation assignments of the assets (for valuation of which class of assets he is seeking registration) amounting to....... or more, during the five years preceding the commencement of these rules, he shall not be required to pass the Valuation Examination:

• 25 crore
• 20 crores
• 10 crore
• 5 crore

Q.40:- No partnership entity shall be eligible to be a registered valuer if….. of its partners practicing in India are not registered Valuers:

• Three
• Seven
• A majority
• Two

Q.41:- The authority grants a certificate of registration to a registered valuer in______

• Form D
• Form C
• Form B
• Form A

Q.42:- Partnership entity shall be eligible to be a registered valuer if It has been set up for object for rendering:

• Financial Service
• Professional Service
• Valuation services
• All of the above

Q.43:- A partnership entity or company eligible for registration as a registered valuer under rule 3 may make an application to the authority in:

• Form-A of Annexure-I
• Form-A of Annexure-II
• Form-B of Annexure-I
• Form-B of Annexure-II

Q.44:- A valuer shall act with objectivity in his/its professional dealings by ensuring that his/its decisions are made without the presence of ………, conflict of interest, coercion, or undue influence of any party, whether directly connected to the valuation assignment or not.

• any pressure
• any favor
• any favor and pressure
• any bias

Q.45:- An individual eligible for registration as a registered valuer under rule 3 may make an application to the authority in:

• Form-B of Annexure-II
• Form-B of Annexure-I
• Form-A of Annexure-II
• Form-A of Annexure-I

Q.46:- The registered valuer may obtain inputs for his valuation report or get a separate valuation for an asset class conducted from another:

• Registered valuer
• Valuer
• Professional
• Expert

Q.47:- A member shall submit information about ongoing and concluded engagements as a registered valuer, in the manner and format specified by the Organisation, at least…………………….. stating inter alia, the date of assignment, date of completion and reference number of valuation assignment and valuation report.

• Four Time a year
• thrice in a year
• Twice a year
• Once in a year

Q.48:- What are the conditions to grant a certificate of registration to a Valuer to carry on the activities of a registered valuer?

• At all times comply with the provisions of the Act, these rules and the Bye-laws or regulations or
• Shall not render in his capacity as a registered valuer, not conduct valuation of the assests or class (as) of assets other than for which he/it has been registered by the authority.
• At all times possess the eligibility and qualification and experience criteria as specified under rule 4.
• All of the above

Q.49:- If a person has been convicted of any offence and sentenced in respect thereof to imprisonment for a period of........ or more, he shall not be eligible to be registered:

• 10 years
• 7 years
• 3 years
• 4 years

Q.50:- Undervaluation rule act means:

• Valuation Act 2017
• Income Tax Act
• Company Act 2013
• IBC Act 2016