SAMPLE WORK
Complete copy of CPA Company Law Revision Kit is available in SOFT copy (Reading using our MASOMO MSINGI PUBLISHERS APPS) And in Hard copy (Printed and Bound)
Phone: 0728 776 317
Email: [email protected]
TOPIC 1
NATURE AND CLASSIFICATION OF COMPANIES
QUESTION 1
April 2026 Question One A
State FOUR legal consequences of registering a company (4 marks)
QUESTION 2
December 2025 Question One C
Examine FIVE roles of companies limited by guarantee in promoting non-profit activities in your country. (10 marks)
QUESTION 3
December 2025 Question Five C
Explain the legal procedure followed when the court is lifting the veil of incorporation of a company. (10 marks)
QUESTION 4
August 2025 Question One A
Enumerate FOUR limitations of a private limited company. (4 marks)
QUESTION 5
April 2025 Question One A
Your friend intends to start running a medium sized enterprise as a sole proprietor in his local town. He has come to you for advise on the possible challenges he might encounter as a result of operating his business.
Required:
Advise your friend on FOUR possible challenges about the form of business he intends to operate. (4 marks)
QUESTION 6
December 2024 Question One A and B
(a) Outline FOUR characteristics that define the legal framework within which companies operate in Kenya. (4 marks)
(b) Explain TWO differences between a “holding company” and a “subsidiary company”. (4 marks)
QUESTION 7
August 2024 Question One A and B
(a) With reference to companies, explain the term “body corporate”. (2 marks)
(b) Pizza World Enterprises Ltd., is a small family-owned company operating a chain of restaurants. The company has of late been facing financial difficulties. One reason being that the company’s directors have been using the company’s funds for personal expenses. As a result, the company has not been honouring its obligations to its creditors. The creditors are now contemplating suing the company directors.
Required:
Discuss THREE possibilities of the court lifting the veil of incorporation when the case is brought in a court of competent jurisdiction. (6 marks)
QUESTION 8
August 2024 Question Two A
Highlight THREE characteristics of a company limited by guarantee. (3 marks)
QUESTION 9
April 2024 Question Three B
Distinguish between “Private Limited Company” and “Public Limited Company”. (4 marks)
QUESTION 10
December 2023 Question One A and B
a) Explain the concept of legal personality in the context of corporate entities. (4 marks)
(b) Examine THREE classifications of companies on the basis of liability. (6 marks)
QUESTION 11
August 2023 Question Six B
Discuss THREE advantages and THREE disadvantages of the principle of legal personality. (12 marks)
QUESTION 12
April 2023 Question One A (i)
A group of four graduates have decided to form a small business firm to deal in import and export trade. You have been appointed as a member of the technical committee to help in registering the firm as a limited liability company. Explain to the committee the matters below:
(i) The FIVE legal characteristics of the entity that will be registered. (5 marks)
SAMPLE WORK
Complete copy of CPA Company Law Revision Kit is available in SOFT copy (Reading using our MASOMO MSINGI PUBLISHERS APPS) And in Hard copy (Printed and Bound)
Phone: 0728 776 317
Email: [email protected]
QUESTION 13
April 2023 Question One B and C
b) With respect to the nature and classification of companies, distinguish between a registered company and a:
(i) Statutory corporation. (1 mark)
(ii) Partnership. (4 marks)
c) Outline FIVE instances under common law where the veil of incorporation may be lifted. (5 marks)
QUESTION 14
December 2022 Question One
(a) Highlight FIVE rules relating to the naming of companies. (5 marks)
(b) Describe the effect of the principle elucidated by Lord MacNaghten in the case of Salomon-V-Salomon. (7 marks)
(c) Explain the difference between a “company limited by shares” and a “company limited by guarantee.” (4 marks)
(d) Identify FOUR features of an unlimited company. (4 marks)
QUESTION 15
August 2022 Question One A
(i) Explain three advantages of a public company over a private company. (6 marks)
(ii) Distinguish between “corporation sole” and “corporation aggregate”. (4 marks)
QUESTION 16
April 2022 Question Six D
Distinguish between a “private” and a “public” company. (4 marks)
QUESTION 17
April 2022 Question Seven C
Describe six grounds under which the veil of incorporation might be lifted. (6 marks)
QUESTION 18
September 2021 Question One A
Tom Jerry and Marsha Bear are purposing to form a joint business venture. They are debating whether to form a limited liability company (LLC) or a limited liability partnership (LLP). Their knowledge on these forms of business associations is limited and they have thus approached you for guidance.
Required:
Advise Tom Jerry and Marsha Bear on five differences between a limited liability company (LLC) and limited liability partnership (LLP). (10 marks)
QUESTION 19
May 2021 Question Two A
Explain three characteristics of a company. (6 marks)
QUESTION 20
May 2021 Question Two B
Highlight four differences between a “private company” and a “public company”. (4 marks)
QUESTION 21
May 2021 Question Four C
Highlight three conditions for a company to be deemed a “small company”. (6 marks)
QUESTION 22
November 2020 Question seven B
Explain the distinguishing features of the following types of companies:
(i) Companies limited by guarantee. (3 marks)
(ii) Private companies. (3 marks)
(iii) Public companies. (3 marks)
QUESTION 23
November 2019 Question three A
A company is a legal person and is distinct from its members. This principle is regarded as a curtain, a veil or shield between the company and its members. This veil can be lifted by the Courts and statutes.
Describe the circumstances for lifting of the veil by:
- The Courts. (6 marks)
- The Statutes. (6 marks)
SAMPLE WORK
Complete copy of CPA Company Law Revision Kit is available in SOFT copy (Reading using our MASOMO MSINGI PUBLISHERS APPS) And in Hard copy (Printed and Bound)
Phone: 0728 776 317
Email: [email protected]
