Use app×
Join Bloom Tuition
One on One Online Tuition
JEE MAIN 2025 Foundation Course
NEET 2025 Foundation Course
CLASS 12 FOUNDATION COURSE
CLASS 10 FOUNDATION COURSE
CLASS 9 FOUNDATION COURSE
CLASS 8 FOUNDATION COURSE
0 votes
132 views
in Formation of a Company by (29.7k points)
closed by

It is often said that Memorandum of Association and Articles of Association are the first and second important documents of a company. As a commerce student can you differentiate between these two documents?

1 Answer

+1 vote
by (29.6k points)
selected by
 
Best answer
  Memorandum of Association    Articles of Association
It defines the object for which the company is formed They are rules of internal management of the company. They indicate how the objectives of the company are to be achieved
It is the main document of the company It is a subsidiary document of the Memorandum of Association
It defines the relationship of the company with outsiders It defines the relationship of the company with members
Acts beyond the Memorandum of Acts beyond the Articles of
Association are invalid and cannot be ratified. Association can be ratified by the members. But they do not violate memorandum
Filing of Memorandum is compulsory Filing of Articles is not compulsory for public company
Alteration of Memorandum is very difficult It can be altered by passing a special resolution

Welcome to Sarthaks eConnect: A unique platform where students can interact with teachers/experts/students to get solutions to their queries. Students (upto class 10+2) preparing for All Government Exams, CBSE Board Exam, ICSE Board Exam, State Board Exam, JEE (Mains+Advance) and NEET can ask questions from any subject and get quick answers by subject teachers/ experts/mentors/students.

...