Question

Where the vacancy is caused by resignation of auditor, the appointment of auditor shall also be approved by the company at a ______convened within ______of the recommendation of the Board and he shall hold the office till the conclusion of the _______.

• A. Board meeting; Four months; Next annual general meeting
• B. General meeting; Three months; Next annual general meeting
• C. Board meeting; Four months; Fifth annual general meeting
• D. General meeting; 60 days; Next annual general meeting

Answer 1

Answer: (B)

General meeting; Three months; Next annual general meeting

As per the companies act, auditor appointed after resignation of earlier auditor, shall remain in office till the next annual general meeting and cannot be appointed by the board of directors solely but in general meeting.