Chapter Exam

Chapter 9: Government Organisation — Online MCQ Test

Q: Which of the following is a feature of a departmental undertaking?

Answer: B. Direct control of the government department — A departmental undertaking functions as a part of a government department and is directly controlled by the concerned ministry.

Q: Public corporations are created by:

Answer: B. Special Act of Parliament or State Legislature — A statutory public corporation is established by a special Act passed by Parliament or the State Legislature.

Q: A public corporation is most suitable when the enterprise needs:

Answer: B. Autonomy with public accountability — Public corporations are created to give operational autonomy while still ensuring public accountability through statutory provisions.

Q: Which of the following is NOT a feature of a government company?

Answer: C. It is always wholly owned by the government — A government company need not be wholly owned by the government; it is enough if the government holds at least 51% of the paid-up share capital.

COMMERCE · CLASS 11th · Tamil Nadu State Board

Practice Chapter 9: Government Organisation with a free chapter-wise online MCQ test for Tamil Nadu State Board CLASS 11th COMMERCE. This chapter covers: This chapter covers public sector enterprises in India. Students examine structural features advantages and limitations of departmental undertakings statutory public corporations a.... AI-generated questions from basic to board-exam level, with instant results and explanations.

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Chapter 9: Government Organisation — Important Questions & Answers (FAQ)

Frequently asked questions from Tamil Nadu State Board CLASS 11th COMMERCE — Chapter 9: Government Organisation, with answers and explanations. These are sample questions; the exam has its own separate question set.

Which of the following is a feature of a departmental undertaking?

A. Separate legal existence
B. Direct control of the government department ✓
C. Ownership by private shareholders
D. Formation under the Companies Act only

Answer: B. Direct control of the government department
A departmental undertaking functions as a part of a government department and is directly controlled by the concerned ministry.

Public corporations are created by:

A. Articles of Association
B. Special Act of Parliament or State Legislature ✓
C. Partnership deed
D. Memorandum of Association only

Answer: B. Special Act of Parliament or State Legislature
A statutory public corporation is established by a special Act passed by Parliament or the State Legislature.

A public corporation is most suitable when the enterprise needs:

A. Strict day-to-day political control
B. Autonomy with public accountability ✓
C. Only family ownership
D. No legal powers

Answer: B. Autonomy with public accountability
Public corporations are created to give operational autonomy while still ensuring public accountability through statutory provisions.

Which of the following is NOT a feature of a government company?

A. It is registered under the Companies Act
B. It has a separate legal identity
C. It is always wholly owned by the government ✓
D. It can have mixed ownership

Answer: C. It is always wholly owned by the government
A government company need not be wholly owned by the government; it is enough if the government holds at least 51% of the paid-up share capital.

A board question asks: 'Which statement is true about government companies?' Which one is correct?

A. They are formed only by ordinance
B. They are subject to the provisions of the Companies Act ✓
C. They do not have a board of directors
D. They cannot issue shares

Answer: B. They are subject to the provisions of the Companies Act
Government companies are incorporated under the Companies Act and are governed by its provisions, along with relevant government rules.

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