Question

Name the company under which company index of members is compulsory.
(a) Public Company (b) Private company
(c) Joint Stock Company (d) Hindu undivided family

Answer 1

In a private company, the company index of members is compulsory.

Option (b) is correct.

Explanation:

• A private company is a private business run by a few members.
• The few members of the company opt for a partnership to run a company.
• There is a limit of members in a private company and a maximum number of members can be 200.
• The assets or shares can not be transferred between the members and there are certain limits on it.