Buss 216:Business Law Ii Question Paper

Buss 216:Business Law Ii 

Course:Business Administration

Institution: Kenya Methodist University question papers

Exam Year:2012



KENYA METHODIST UNIVERSITY

END OF 3''RD ''TRIMESTER 2012 (DAY) EXAMINATIONS
SCHOOL : BUSINESS AND ECONOMICS
DEPARTMENT : BUSINESS ADMINISTRATION
UNIT CODE : BUSS 216
UNIT TITLE : BUSINESS LAW II


TIME: 2 HOURS

Instructions: Answer Question ONE and any other TWO Questions.

Question One

Briefly explain the origin of the word "company" in relation to this unit.

(5 Marks)

Outline at least FIVE characteristics of a company.

(5 Marks)

Company corporate veil can be unveiled under the following circumstances.

Unveiling under the court or under the case law
Unveiling under statute

For each of the above circumstances give FIVE instances/reasons why it is unveiled. (10 Marks)


Briefly explain the procedure of registering a company in Kenya.

(10 Marks)

Question Two

A memorandum of Association sets the fundamental conditions upon which the company is allowed to be incorporated.

Explain the importance of memorandum of association.

(10 Marks)

Explain the instances where a company may alter its objects after special resolution.

(10 Marks)

Question Three

Explain the TWO occasions when a statement in lieu of prospectus is to be filed with the registrar.

(5 Marks)

Write short notes on the following:
Chartered companies

Question Four

Explain the reasons which could lead to dissolution of a company.



(8 Marks)

The directors of Twiga Ltd. wish to cease trading and close down the company. Describe the modes of winding up available to the directors.

(12 Marks)

Question Five

In relation to the law relating to meetings under company law, discuss the rules which govern the following:

Voting by Proxy

(7 Marks)

Revocation the authority of a proxy

(6 Marks)


Explain the rights of an auditor of a company.

(7 Marks)






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