BUSINESS ADMINISTRATION
BUSINESS ECONOMICS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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A
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B
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C
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D
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Detailed explanation-1: -A public joint stock company is a business association engaged in a business for profit making, with ownership interests represented by sales of shares/stock to the public. This business entity has share capital divided into shares of equal nominal value.
Detailed explanation-2: -A joint stock company is an organisation which is owned jointly by all its shareholders. Here, all the stakeholders have a specific portion of stock owned, usually displayed as a share.
Detailed explanation-3: -In modern-day corporate law, the existence of a joint-stock company is often synonymous with incorporation (possession of legal personality separate from shareholders) and limited liability (shareholders are liable for the company’s debts only to the value of the money they have invested in the company).
Detailed explanation-4: -Most public companies are joint-stock companies, that is, they have their shares owned by shareholders who jointly own the company. Nowadays, a joint-stock company is also called a public company, or a corporation.