Advertisement
(a) A Limited Liability company is a better form of organization than the partnership, explain. (b) What is e-commerce ? Discuss its benefits and limitations.
Subject: 1.4: BUSINESS ORGANISATION & ENVIRONMENT. MODEL QUESTION PAPER 1 Total - 70 marks. SECTION- A. 1. Answer any 5 of the following questions each.
This question paper contains 4 printed pages]. 4371. Your Roll No. B.Com. / I. AS. Paper I-BUSINESS ORGANISATION AND . Describe various elements of contemporary.
The notes and questions for Business Organisation and Management - Question Paper (Unsolved), B.com have been prepared according to the B Com exam syllabus.
State the meaning, objectives and scope of business. When and how was business organization evolved? Answer any two questions out of the following three.
ECO-01 Business Organisation in English Previous Year Question Papers . Organization in English QUESTION AND ANSWER eBook. Title Name, ECO-01 Previous Question.
All questions carry equal marks. Q1. A sole proprietor wants to expand his business and requires more capital and professional expertise for such expansion.
Download this note as PDF at no cost
If any AD appears on download click please wait for 30sec till it gets completed and then close it, you will be redirected to pdf/ppt notes page.
Advertisement
Business organization, an entity formed for the purpose of carrying on commercial enterprise. Such an organization is predicated on systems of law governing contract and exchange, property rights, and incorporation.
Get instant access to notes, practice questions, and more benefits with our mobile app.
From Business Organization
Capital requirement strongly influences the choice of organisation. Small businesses with low capital needs generally adopt sole proprietorship or partnership because they are easy and inexpensive to start. When capital needs are large for expansion, technology and large-scale operations, forms like company or LLP are preferred because they can mobilise funds from many investors/partners and have better creditworthiness.
Partnership deed is important because it clearly defines rights and duties and helps avoid disputes. It generally includes clauses about name and nature of business, capital contribution, profit and loss ratio, interest on capital/drawings, salary/commission, duties and powers of partners, admission/retirement/expulsion, goodwill valuation, accounts and audit, and dissolution and dispute settlement (arbitration clause).
Incorporation is the legal process by which a company is created and becomes a separate legal entity under company law. Before incorporation, the company does not have legal existence; after incorporation it can own property, enter contracts and sue or be sued in its own name.
Procedure (overview): The promoters arrange necessary approvals such as digital signatures and identification for proposed directors, reserve the company name, prepare incorporation documents and file them with the Registrar along with Memorandum of Association and Articles of Association. After verification and payment of fees, the Registrar registers the company.
Certificate of Incorporation: After registration, the Registrar issues the Certificate of Incorporation. This certificate is conclusive evidence that all legal requirements for registration have been complied with and that the company is legally formed from the date mentioned in the certificate.
Effect: Once the certificate is issued, the company becomes a separate legal entity with perpetual succession. Its existence cannot be challenged on the ground of irregularities in registration. The company can carry on business and exercise its powers subject to law and its constitutional documents.
Therefore, incorporation and the certificate provide legal birth and identity to the company.