State True Or False the Ownership and Management is Not Separated in a Joint Stock Company. - Organisation of Commerce and Management

Short Note
True or False

State true or false.
The ownership and management is not separated in a Joint Stock Company.


  • True

  • False



(i) The shareholder in the company is large and they are spread all over the country. Therefore, they cannot take part in the day to day routine business of the company.
(ii) Therefore, the management of the company is done professionally by experts who are the representatives of the shareholders are called the board of Directors.
(iii) Further, these shares are easily and freely transferable in public limited company. The shareholder does not have to take permission of other shareholders or the company before transfering the shares. Therefore, the membership of the company keeps changing on frequently.
(iv) Hence, shareholders appoint their representative i.e. the Board of Directors who handles the management on their behalf. Thus in joint Stock company management and ownership is separated.

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2015-2016 (March)


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The maximum number of member is a private company are ___________

a. 50

b. 40

c. 20

Distinguish between Private Company  and Public Company.

Group A
Group B
(a) Registration of a company
(1) 24th December
(b) E-business
(2) One man one boss
(c) World consumers’ Right Day
(3) Giving direction
(d) Principle of unity of command
(4) One man many bosses
(e) Controlling
(5) Outsourcing.
(6) 15th March
(7) Optional
(8) Electronic business
(9) Taking corrective action
(10) Compulsory

A company in which there are maximum 50 members.

Features of a Government company.

 Private Company and Public Company

‚ÄčA company which is incorporated under Special Act of Parliament.

Features of Multinational Companies.

 Government companies are registered under special legislation.

Select the proper option from the options given below and rewrite the completed sentence.
The maximum number of members in a private limited company are ________

Select the proper option from the options given below and rewrite the completed sentence.
Registration of a Joint stock company is ________.

Distinguish between the following.
Private Limited company and Public limited company

Write short note on the following.
Features of Joint Stock company

State with reasons whether the following statement true or false.

A joint stock company can raise huge capital.

Distinguish between: Private Company and Public Company

State the important privileges available to a private company.

Briefly explain the following term: Perpetual succession

Briefly explain the following term: Common seal

Briefly explain the following term: Artificial person


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