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The difference between Articles of association and memorandum of Association is that the latter deals

Commerce
JAMB 2019

The difference between Articles of association and memorandum of Association is that the latter deals

  • A. with the Internal working relationship of the company and its members
  • B. with the powers and relationships of the company with outsiders
  • C. The method of issue, transfer and future of the company's shares
  • D. The rights and responsibilities of shareholders
Post-UTME Past Questions - Original materials are available here - Download PDF for your school of choice + 1 year SMS alerts
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Correct Answer: Option B
Explanation

Memorandum of Association contains what is generally called the "external" rules of the company. They refer to the objectives of the company and hold it intends to interact with the public.

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WAEC May/June 2024 - Practice for Objective & Theory - From 1988 till date, download app now - 99995
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Post-UTME Past Questions - Original materials are available here - Download PDF for your school of choice + 1 year SMS alerts
WAEC May/June 2024 - Practice for Objective & Theory - From 1988 till date, download app now - 99995
WAEC offline past questions - with all answers and explanations in one app - Download for free
WAEC Past Questions, Objective & Theory, Study 100% offline, Download app now - 24709
WAEC May/June 2024 - Practice for Objective & Theory - From 1988 till date, download app now - 99995
WAEC Past Questions, Objective & Theory, Study 100% offline, Download app now - 24709
WAEC offline past questions - with all answers and explanations in one app - Download for free
Post-UTME Past Questions - Original materials are available here - Download PDF for your school of choice + 1 year SMS alerts