CIMA Exam CIMAPRA17-BA4-1 Topic 7 Question 86 Discussion

Actual exam question for CIMA's CIMAPRA17-BA4-1 exam

Question #: 86
Topic #: 7

[All CIMAPRA17-BA4-1 Questions]

Which of the following statements are correct regarding companies'?

1. Both public and private companies must have a minimum amount of share capital before they can commence trading.

2. The shareholders of both public and private companies cannot interfere in the management of the company.

3. The minimum number of directors for both public and private companies is two

A1 only

B2 and 3 only

C1 and 2 only

D2 only

Show Suggested Answer

Suggested Answer: A

by Lavonna at Apr 29, 2024, 01:33 AM

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Marci

6 months ago

Yeah, D seems plausible. Shareholders still have some influence, though.

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Alease

6 months ago

True, but option 3 says two directors. I think it's B because public companies need more than two directors.

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Theola

6 months ago

I think it's D. Shareholders usually don't manage the company directly.

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Joesph

6 months ago

But private companies don't need minimum share capital, right? So it can't be 1.

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Katina

7 months ago

I'm not sure about A. I heard public companies need a minimum share capital.

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Sunshine

7 months ago

This question seems tricky. Do you think it's A?

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