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QUESTION: 266

Which of the following is correct?

(i) A public company must hold an AGM.

(ii) A public company must give at least 14 days' notice of its AGM.

(iii) One of the purposes of an AGM is to provide an annual opportunity for the shareholders to question the directors regarding their management of the company.

(i) only
(i) and (ii) only
(i) and (iii) only
(ii) and (iii) only

Answer(s): C

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QUESTION: 267

Which of the following is INCORRECT in relation to the European Commission?

The Commission is the executive arm of the European Union.
The Commission is made of independent Commissioners whose role is to further the interests of the Member States which they represent.
The Commission represents the European Union in any trade negotiations with states which are not members of the European Union.
The Commission has a duty to ensure the treaties and law are upheld, potentially by taking Member States or other institutions to the European Court of Justice.

Answer(s): B

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QUESTION: 268

Which of the following statements is correct?

(i) To succeed in the tort of negligence, a claimant must show that the defendant owed him a duty of care.

(ii) To succeed in the tort of negligence, the defendant must have broken a duty to take care.

(iii) To succeed in the tort of negligence, it is necessary to show that the claimant suffered loss or harm as a result of the defendant's breach of duty.

(i) and (ii) only
(ii) and (iii) only
(i) and (iii) only
(i), (ii) and (iii).

Answer(s): D

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QUESTION: 269

Miss K is a newly qualified accountant working in a highly respected local accountancy firm headed by Mr R, who is a pillar of the community. One night, Miss K is at an out of town bar with friends, when she spots Mr R with Mrs E, a client of the firm. It is obvious they are having a secret affair. Is this an ethical issue?

Yes, Mr R is involved in a potential conflict of interest by having an affair with a client
No, what Mr R and Mrs E do in their own personal time is nobody else's business
Yes, as professional accountants, Miss K and Mr R should not be drinking alcohol
No, Miss K knows nothing about Mr R's private life, and may be mistaken about the affair

Answer(s): A

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