{"id":34632,"date":"2024-04-15T09:33:34","date_gmt":"2024-04-15T09:33:34","guid":{"rendered":"https:\/\/exam.pscnotes.com\/mcq\/?p=34632"},"modified":"2024-04-15T09:33:34","modified_gmt":"2024-04-15T09:33:34","slug":"following-are-the-events-which-generally-happen-in-the-life-of-a-public-limited-company-1-public-issue-of-shares-ipo-2-firm-incorporation-3-preliminary-expenditures-4-issue-of-equity-shares-to-p-2","status":"publish","type":"post","link":"https:\/\/exam.pscnotes.com\/mcq\/following-are-the-events-which-generally-happen-in-the-life-of-a-public-limited-company-1-public-issue-of-shares-ipo-2-firm-incorporation-3-preliminary-expenditures-4-issue-of-equity-shares-to-p-2\/","title":{"rendered":"Following are the events which generally happen in the life of a public limited company 1. Public issue of shares (IPO) 2. Firm incorporation 3. Preliminary expenditures 4. Issue of equity shares to promoters of the company Choose the correct sequence (chronological order) of the events from the options given below:"},"content":{"rendered":"<p>[amp_mcq option1=&#8221;1, 2, 3, 4&#8243; option2=&#8221;2, 3, 4, 1&#8243; option3=&#8221;3, 2, 1, 4&#8243; option4=&#8221;3, 2, 4, 1&#8243; correct=&#8221;option4&#8243;]<!--more--><\/p>\n<p>The correct answer is: <strong>D. 3, 2, 4, 1<\/strong><\/p>\n<p>Here is a brief explanation of each event:<\/p>\n<ol>\n<li><strong>Public issue of shares (IPO)<\/strong>: This is the process of a company offering its shares to the public for the first time. The company will file a prospectus with the Securities and Exchange Board of India (SEBI) and then launch the IPO through an investment bank.<\/li>\n<li><strong>Firm incorporation<\/strong> : This is the process of registering a company with the Registrar of Companies (RoC). The company will need to file a memorandum of association (MoA) and articles of association (AoA) with the RoC.<\/li>\n<li><strong>Preliminary expenditures<\/strong> : These are the expenses incurred by the company before it starts its operations. These expenses may include legal fees, accounting fees, and other professional fees.<\/li>\n<li><strong>Issue of equity shares to promoters of the company<\/strong> : The promoters of the company are the people who start the company. They will usually be the first shareholders of the company. They will receive shares in the company in exchange for their investment.<\/li>\n<\/ol>\n<p>The correct sequence of events is:<\/p>\n<ol>\n<li>Preliminary expenditures<\/li>\n<li>Firm incorporation<\/li>\n<li>Issue of equity shares to promoters of the company<\/li>\n<li>Public issue of shares (IPO)<\/li>\n<\/ol>\n<p>This is because the company needs to be incorporated before it can issue shares. It also needs to incur some preliminary expenditures before it can start its operations. The public issue of shares is the last step in the process, as it is the process of raising money from the public.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>[amp_mcq option1=&#8221;1, 2, 3, 4&#8243; option2=&#8221;2, 3, 4, 1&#8243; option3=&#8221;3, 2, 1, 4&#8243; option4=&#8221;3, 2, 4, 1&#8243; correct=&#8221;option4&#8243;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[704],"tags":[],"class_list":["post-34632","post","type-post","status-publish","format-standard","hentry","category-legal-aspects-of-business","no-featured-image-padding"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v22.2 (Yoast SEO v23.3) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Following are the events which generally happen in the life of a public limited company 1. Public issue of shares (IPO) 2. Firm incorporation 3. Preliminary expenditures 4. Issue of equity shares to promoters of the company Choose the correct sequence (chronological order) of the events from the options given below:<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/exam.pscnotes.com\/mcq\/following-are-the-events-which-generally-happen-in-the-life-of-a-public-limited-company-1-public-issue-of-shares-ipo-2-firm-incorporation-3-preliminary-expenditures-4-issue-of-equity-shares-to-p-2\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Following are the events which generally happen in the life of a public limited company 1. Public issue of shares (IPO) 2. Firm incorporation 3. Preliminary expenditures 4. 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Public issue of shares (IPO) 2. Firm incorporation 3. Preliminary expenditures 4. Issue of equity shares to promoters of the company Choose the correct sequence (chronological order) of the events from the options given below:","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/exam.pscnotes.com\/mcq\/following-are-the-events-which-generally-happen-in-the-life-of-a-public-limited-company-1-public-issue-of-shares-ipo-2-firm-incorporation-3-preliminary-expenditures-4-issue-of-equity-shares-to-p-2\/","og_locale":"en_US","og_type":"article","og_title":"Following are the events which generally happen in the life of a public limited company 1. Public issue of shares (IPO) 2. Firm incorporation 3. Preliminary expenditures 4. 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