Question 4
Business UnitsA private company is one which
- A.must publish its audited account
- B.floats its shares on the stock exchange market
- C.restricts the rights to transfer its shares
- D.is owned by a maximum of twenty members
Show the answer and explanation
Answer: C (restricts the rights to transfer its shares)
Explanation
A private limited company restricts the transfer of its shares and cannot sell shares to the public.