CLAW$3501$

SECTION B

Instruction: In the booklet provided, answer any TWO $(2)$ questions from this section.

Question $1$

A$.$ Critically evaluate TWO $(2)$ remedies available to a debenture holder where a company has defaulted on the debt covered by the debenture.

$(12$ marks$)$

B$.$ Describe any TWO $(2)$ classes of shares that may be held in a limited liability company. $(10$ marks$)$

C$.$ Describe TWO $(2)$ differences between a fixed and a floating charge as the term is used in company law.

$(8$ marks$)$

$($Total $30$ marks$)$

Question $2$

A$.$ Define partnership deed.

$(5$ marks$)$

B$.$ Explain THREE $(3)$ grounds for dissolution of a partnership.

$(15$ marks$)$

C$.$ Discuss FOUR $(4)$ differences between a Sole Proprietorship and a Partnership.

$(10$ marks$)$

$($Total $30$ marks$)$

Question $3$

Jackie and Simon run the Fabulous Hair Day Hairdressing Salon, which is prospering. They would like to expand their premises and staff and hope ultimately to open other salons in different locations. They are debating whether to continue to trade as a partnership or set up a limited company.

A$.$ Advise Jackie and Simon of the differences between a partnership and a limited company.

$(20$ marks$)$

B$.$ Jackie and Simon have heard about statutory meetings and would like you to explain what it means.

$(5$ marks$)$

C$.$ State which business form you would choose and why?

$(5$ marks$)$

$($Total $30$ marks$)$

$\frac{19}{05}$

The Council of Community Colleges of Jamaica

Page $3$

CLAW$3501$

Question $4$

A$.$ Discuss FOUR $(4)$ obligations of a company in respect to holding Annual General Meetings, and the rules applicable to notices of such meetings?

$(12$ marks$)$

B$.$ Describe the following:

i$.$ Ordinary resolution

ii$.$ Extraordinary resolution

iii. Special resolution

$(9$ marks$)$

C$.$ Discuss the roles of the Chairman in an Annual General Meeting.

$(9$ marks$)$

$($Total $30$ marks$)$