Question

State the following statement is True or False:
The second stage in the formation of a Joint Stock Company is incorporation.

• A. True
• B. False

Answer 1

The correct option is A True

True

Incorporation or registration is the second stage in the formation of a company. It is the registration that brings a company into existence. A company is properly constituted only when it is duly registered under the Act and a Certificate of Incorporation has been obtained from the Registrar of Companies.