Question

The aims and objectives of a company are stated in the ______ clause of the Memorandum of Association.

• A. Name
• B. Object
• C. Domicile
• D. None of these
  

Answer 1

The correct option is B Object

The object clause of the Company is the third clause of the memorandum of association of any Company stating the objects i.e. the business/purpose for which the Company is incorporated and any other matter considered necessary in furtherance thereof.

A Memorandum of Association (MOA) is a legal document prepared in the formation and registration process of a limited liability company to define its relationship with shareholders. The MOA is accessible to the public and describes the company’s name, physical address of registered office, names of shareholders, and the distribution of shares.

A Memorandum of Association is a document of prime importance for a company. It depicts the objectives, extent of authority, competency, liabilities, and legal rights of the company. The memorandum acts as a legal code or constitution for a company and regulates the relationships between the company and its shareholders, investors, beneficiaries, and other members.

Hence, option (B) is the correct answer.