Please refer to Formation of a Company HOTs Class 11 Business Studies provided below with Formation of a Company. All HOTs for Class 11 Business Studies with answers provided below have been designed as per the latest syllabus and examination petter issued by CBSE, NCERT, KVS. Students of Standard 11 Business Studies should learn the solved HOTS for Class 11 Business Studies provided below to gain better marks in examinations.
Formation of a Company Class 11 Business Studies HOTs
Question. State the three stages in the formation of a company.
Answer : The three stages in the formation of a company are.
• Promotion
• Incorporation
• Subscription of a company
Question. In a company, who is known to be the first directors of the company?
Answer : In a company, the promoter decides who will sign the memorandum of association of the proposed company. Whoever signs the memorandum, they will also be the first directors of the company.
Question. How many members should sign a memorandum of association in a public company?
Answer : A minimum of seven members should sign a memorandum of association in a public company.
Question. What do you mean by Technical feasibility?
Answer : Technical feasibility means analyzing an idea which may be great but technically impossible to execute. It could be because of the desired raw material or technology is not easily available.
Question. What do you mean by Economic feasibility?
Answer : A plan or a project can be technically and financially feasible but the outcome of it being profitable is very limited.
Question. What do you mean by the promoter?
Answer : In common, a promoter is a person who has control over the operation of a company directly, indirectly or as a shareholder. According to his advice, the director or the board members of the company takes the decision.