Set – 1

Q.1. Describe the main features of a Joint Stock Company. Explain its advantages and disadvantages. (3+4+4 = 10 Marks)

Ans 1.

Joint Stock Company

The joint stock corporation is an organisation in business that divides ownership into smaller units known as shares. Anyone can purchase these shares and be a part owner of the firm. The company is formed under the Companies Act and has a separate legal name. This means that the business can have its own assets, sue as well as be sued under its own name.

Main Features

A joint stock company has various important advantages. One of them is that it has separate legal

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Q.2. Write a short note on: A) Primary Sector B) Size of a Business (5+5 = 10 Marks)

Ans 2.

1. A) Primary Sector

The primary sector includes every activity that involves removal of sources from the earth. Agriculture is the main component of this industry. Mining, fishing, farming forestry, mining and animal husbandry all fall under this category. In countries that are developing, such as India where a substantial portion of people still depend on the primary sector to earn their living.

The sector is the foundation for the whole economy. It supplies raw materials to industries, as

Q.3. Discuss in detail the responsibilities of entrepreneurs toward different stakeholders. (10 Marks)

Ans 3.

Entrepreneurs and Their Responsibilities

An entrepreneur is someone who creates and operates an enterprise, taking on financial risks with the expectation of making a profit. In addition to the ability to make money Entrepreneurs also have obligations to various communities in the society. They are referred to as stakeholders. Each stakeholder group has a distinct connection to the business, and have different expectations

Set – 2

Q.4. Elaborate the various reasons of closure or failure of a company. (10 Marks)

Ans 4.

Reasons for Closure or Failure of a Company

Many businesses fail even after a promising start. Learning the reasons for why companies fail can be crucial in avoiding the possibility of such catastrophes. There are a variety of internal and external reasons that lead to the closure of a company.

Poor Management and Planning

Poor management is among most frequent reasons for the failure of a business. When managers

Q.5. Elaborate the services provided by AIMO (All India Manufacturers’ Organisation) to its members. (10 Marks)

Ans 5.

All India Manufacturers Organisation (AIMO)

The All India Manufacturers Organisation, also known as AIMO, is one of India’s most revered and oldest industries and trade associations. It was established to promote manufacturing interests across India. AIMO serves as a firm voice for its members in discussions with the government and other regulatory authorities.

Representation and Advocacy

One of the main of the services AIMO offers is the representation of manufacturers in front of

Q.6. Discuss the role of any one Indian business law (of your choice) and its impact on business operations. (5+5 = 10 Marks)

Ans 6.

Companies Act 2013

Companies Act 2013 Companies Act 2013 is one of the major lawful business regulations in India. It replaced the older Companies Act of 1956 and introduced a number of modern changes to control the creation and operation of companies. The law is applicable to every type of business, including private limited companies and public limited corporations and one person

SESSION AUG 2022
PROGRAM BACHELOR OF COMMERCE (B.COM.)
SEMESTER I
COURSE CODE & NAME DCM1104 –BUSINESS ORGANISATION
Assignment Set – 1
1. “Firms which systematically analyze and diagnose the environment are more effective
than those which don’t.” Elucidate.
Ans: No business enterprise functions in a vaccum. It is a product of business ecology i.e.,
business environment. Nature, location, product/service, size, volume price, policies and
decisions of the business enterprise are influenced by the business environment.
A business units decisions and performance are influenced by a wide variety of factors,
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2. Business risk is the possibility of occurrence of losses or insufficient profits because of
various unexpected events which cannot be controlled by business. Explain its types and
causes.
Ans: 1. Internal business risk: It is associated with the operational efficiency of the firm.
The operational efficiency of the operation is reflected on the company’s achievement of its
preset goals and the fulfilment of the promises to its investors. The following are the key
internal factors creating
3. Discuss the preliminary considerations which a businessman should keep in mind
while selecting a form of business organisation.
Ans: Selection of an appropriate form of business organisation on the basis of possession and
administration is one of the important responsibilities of the entrepreneur. You must have
noticed that no particular form of business organisation can meet all kinds of our
requirements. Some may require more financial and managerial resources while others
Assignment Set – 2
4. Elaborate the procedure for formation of a company.
Ans: The whole process of formation of a company may be divided, for convenience,
into three parts. These are:
(i) Promotion;
(ii) Registration and
(iii) Floatation.
2. If a public company having share capital has not issued a prospectus, then it shall not
commence business or exercise its borrowing powers unless:
a) It has filed with the Registrar a statement in lieu of prospectus;
b) Every director of the company has paid to the company on each of the shares taken or
contracted to be taken by him and for
5. Mr. Udit conceived an idea to start a company. He consulted a Company secretary to
get the details. Company secretary helped list down Mr. Udit’s duties and liabilities in
the process of promoting the company. Explain the key duties and liabilities of Mr.
Udit.
Ans: Duties of promoters:-
The key duties of the promoters are:-
1. The promoters must not make any secret profit out of the property of the company.
For example, making profits from sale of the property without disclosing them to the
company and its members will be bound to refund the same to the company.
2. The promoters must make full disclosure of all relevant facts to the company including any
b) Federation of Indian Chambers of Commerce and Industry (FICCI)
Ans: FICCI is the leading and oldest summit business association in India, recognized in
1927. Through its 400 professionals, FICCI has spread its wings in 39 sectors of the
economy. FICCI’s has a dedicated think-tank on policy issues consisting of people from the
business, government and academic world. Its publications are extensively read for their in