DIRECTORS OF A COMPANY. — SPCC STD 12 Commerce — Question
Gujarat BoardEnglish MediumSTD 12 CommerceSPCCDIRECTORS OF A COMPANY.3 Marks
Question
"Directors are trustees but not"-Explain this statement.
✓
Answer
The shareholders of the company's directors are the elected representatives:
Directors manage the company's assets in the same way as the company's interest.
Directors cannot use the company's assets for their personal benefit.
However, despite all the directors being the company's trustees, not all traits of trustee are found.
Trustees place all their properties in their trust. In the company, the property of the company is not in the name of the trust but in the name of the company.
Trusts can trust the trust in their own name in the court. When the managers in the company can claim the name of the company, not in their own names.
Thus, from the above discussion it can be said that the administrator is not even a trustee.
Need a full question paper?
Generate a complete, print-ready paper with questions like this in minutes — across 16+ boards, with answer keys.