WAEC Economics 1993 Theory question 105

Merits:
1. Limited liability of shareholders.
2. Large capital can be raised by selling shares (and debentures).
3. Continuity – separate legal entity, not affected by death of members.
4. Shares (of public companies) are easily transferable.
5. Expert management by a board of directors and professional managers.
6. Enjoys economies of scale.
7. Can borrow easily because of its size and credibility.
8. Risk is spread among many shareholders.
9. Research and development possible.

Brief points.