Question 8
Business UnitsA business unit which needs a trading certificate to start its operation is a
- A.public corporation
- B.public company
- C.private company
- D.co-operative society
Show the answer and explanation
Answer: B (public company)
Explanation
After incorporation, a public limited company must raise its minimum capital and obtain a trading certificate (certificate to commence business) before it can begin trading. A private company can start on incorporation.