kinds of company

(Remembering) What is a joint stock company?

• A company that is owned by one person
• A company that is owned by the government
• A company that is owned by multiple shareholders
• A company that is owned by a group of investors
• 3

(Understanding) What are some features of a joint stock company?

• Limited liability for shareholders
• The ability to issue shares of stock
• The ability to raise large amounts of capital
• All of the above
• 4

(Understanding) What is the main difference between a private and a public company?

• Private companies are owned by the government, while public companies are owned by multiple shareholders
• Private companies are small, while public companies are large
• Private companies do not have to disclose financial information, while public companies do
• Private companies can issue shares of stock to the general public, while public companies cannot
• 3

(Applying) How can a joint stock company raise large amounts of capital?

• By taking out loans
• By issuing shares of stock
• By seeking investments from venture capitalists
• By selling assets
• 2

(Analyzing) In which type of company do shareholders have limited liability?

• Sole proprietorship
• Partnership
• Joint stock company
• Corporation
• 3

(Evaluating) Which of the following is NOT a characteristic of a private company?

• Limited liability for shareholders
• The ability to issue shares of stock
• The requirement to disclose financial information
• The ability to raise large amounts of capital
• 3

(Creating) How can a private company raise capital?

• By issuing shares of stock to the general public
• By seeking investments from venture capitalists
• By taking out loans
• All of the above
• 1