NextQ206

Gauri started her business of manufacturing designer furniture in Lonavala. Her business was a huge success and she thought of starting a designer studio involving huge capital in Mumbai as well as in Pune. Her friends wanted to join hands with her and open the same. They approached a chartered accountant and he suggested them to form a private company as according to him this form of company is more desirable.a. State any six privileges of a private company that make it a more desirable than a public company. b. Why a company is called 'an artificial person having perpetual succession and a common seal'?

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Question 205

Aarushi finished her Bachelors degree in Management and decided to join Paras Pharmaceuticals. She was placed under the department which oversaw the exact route of each individual item. Her supervisor Kumar explained that their department plays a very important function of looking into the movement of material, performance of machines and operations of labour. She was surprised and asked Kumar the reason and he further explained that the department makes a plan for every item which will ensure the orderly flow of materials from raw material stage to the finished product stage and this will enable continuous production always. He further elaborated on various systems used for quality control. Kumar showed her an existing plan and asked Aarushi to devise a plan incorporating all that he had explained. Explain the first five elements involved in this plan.

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