What is the minimum number of subscribers needed to form a public company under the Companies Act, 2013?
Question and options
What is the minimum number of subscribers needed to form a public company under the Companies Act, 2013?
6
4
3
7
Answer and explanation
Correct answer: D - 7
Section 3(1)(a) of the Companies Act, 2013 allows a public company to be formed by seven or more persons subscribing to the memorandum. A private company needs two or more persons under section 3(1)(b), and a One Person Company one person under section 3(1)(c).
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