Insolvency and Final Exam Essay

2482 Words Jun 13th, 2013 10 Pages
BUSL301 Final exam Session 1 2013
The exam does not include: Lecture Area 1-4 Lecture Area 9 [Week 10] (Takeovers / Financial Services and Markets) The Role of Auditors / ASIC Investigation (these are both in Lecture Area 7 [Week 8]) Everything else is examinable – that is, within the range of material that may be included in the final exam Part A of the exam (20 marks) is multiple-choice (10 x 2 marks per question) Part B of the exam (40 marks) has 2 problem style questions requiring written responses (15 marks each) and 1 short answer style question (with 5 questions worth 2 marks each). Look at the Unit Guide and the Assessment Guide Also on iLearn are: Coversheet for the exam Practice Questions Answer Guide to Practice Questions
…show more content…
Which one of the following is false: (a) It is likely that the directors of Konstam have breached their duties to as they have made improper use of information relating to the fact that the company was in financial difficulty (b) Konstam Pty Ltd can be referred to as a phoenix company (c) The transfer of assets by an insolvent company will not amount to a breach of duty by its directors unless the company is actually in liquidation (d) Insolvency of a company will mean that the directors owe their duty to the company’s present and future creditors. 2. There are no age limits on directors: (a) True (b) False 3. Shareholders can be given notice of an extraordinary general meeting at any time prior to the meeting: (a) True (b) False 4. A company’s directors are collectively known as the ‘board’: (a) True (b) False 5. A company can be wound up voluntarily if it is insolvent: (a) True (b) False 6. ASIC can disqualify a person from managing a corporation for up to 15 years without a court order: (a) True (b) False 7. Which one of the following is true: (a) In ASIC v Healey (2011) 196 FCR 291 (concerning Centro Properties Group) the court held that the non-executive directors did not breach their duty of care and diligence (b) Company liquidations do not have to be advertised (c) A liquidator is an ‘officer’ as defined in the Corporations Act (d) A director can appoint an administrator. 8. Which one of the following is true: (a) The “two strikes”

Related Documents