The Co-operative Societies Act, 1925 MCQs – Chapter VI – Property and Funds of Societies

1. : Under the Co-operative Societies Act, 1925, the property of a registered co-operative society is:
(A) Vested in the society as a corporate body
(B) Vested in the government
(C) Vested in the managing committee only
(D) Vested in the Registrar

2. : A co-operative society can acquire, hold, and dispose of property:
(A) In its own name as a legal entity
(B) Only in the name of its President
(C) Only in the name of the Registrar
(D) In the name of all members jointly

3. : The funds of a co-operative society may be raised by:
(A) Shares, deposits, loans, and entrance fees as permitted by by-laws
(B) Issuing bonds in the stock market
(C) Printing its own money
(D) Collecting compulsory taxes from members

4. : The reserve fund of a co-operative society is created from:
(A) A portion of annual profits as prescribed by law or by-laws
(B) Loans taken from government
(C) Voluntary donations only
(D) Sale of society’s property

5. : The reserve fund of a co-operative society is primarily intended for:
(A) Strengthening the financial stability of the society
(B) Distribution among members immediately
(C) Investment in speculative businesses
(D) Use only by government departments

6. : A society’s funds and property must be used:
(A) Only for objects and purposes authorized by its by-laws
(B) For personal expenses of members
(C) For political campaigns
(D) For private business ventures of directors

7. : Can the funds of a co-operative society be invested?
(A) Yes, in accordance with rules prescribed by the government or Registrar
(B) Yes, freely in any private business
(C) No, funds cannot be invested under any circumstances
(D) Yes, but only in foreign banks

8. : The property of a co-operative society is protected against:
(A) Attachment or sale under any decree of a court for debts of individual members
(B) Sale by Registrar
(C) Seizure by managing committee
(D) Mortgage to non-members

9. : The liability of members towards society’s property and funds is:
(A) Limited or unlimited as specified in the society’s registration
(B) Always unlimited
(C) Non-existent in all cases
(D) Decided by banks only

10. : Chapter VI – Property and Funds of Societies mainly deals with:
(A) Ownership, protection, utilization, and investment of society’s assets
(B) Dissolution procedures
(C) Election of committee members
(D) Duties of Registrar