Concept:The memorandum of association defines the company's external powers and its relationship with outsiders.
Explanation:The memorandum of association contains the "external" rules of the company.
It states the company's objectives and the scope of its powers when dealing with outsiders.
Articles of association, in contrast, govern the internal management and working relationship among members.
Therefore, the latter, meaning the memorandum of association, deals with powers and relationships with outsiders.
Answer:B. with the powers and relationships of the company with outsiders.