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The document which sets out the internal arrangement for the proper management of a company...

Accounts - Principles of Accounts
JAMB 2025

The document which sets out the internal arrangement for the proper management of a company is the

  • A. memorandum of association
  • B. prospectus
  • C. certificate of incorporation
  • D. article of association
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Correct Answer: Option D
Explanation

The Articles of Association set out the internal rules for managing a company, including shareholders’ rights, directors’ powers, and meeting procedures. The Memorandum of Association governs the company’s external relations. The Prospectus invites the public to subscribe to shares, while the Certificate of Incorporation proves the company’s legal existence.


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