Question

jonit stock company analysis

Answer 1

The following are the features of a Joint Stock Company:

Registration of the Joint Stock Company is important as it gives the company a legal right.
The Joint Stock Company can have a long term existence as a company and is not affected by any changes to the company members or death.
The company can create a large capital for the business by issuing shares and other such funds.
This company cannot hold any member of the Joint Stock company responsible for debts caused to the company

Answer 2

JOINT STOCK COMPANY

A company is an association of persons formed for carrying out business activities and has a legal status independent of its members. The company form of organisation is governed by The Companies Act, 1956. A company can be described as an artificial person having a separate legal entity, perpetual succession and a common seal.

The shareholders are the owners of the company while the Board of Directors is the chief managing body elected by the shareholders. Usually, the owners exercise an indirect control over the business. The capital of the company is divided into smaller parts called "shares" which can be transferred freely from one shareholder to another person ( except in a private company).