Merits of a joint stock company
Answers
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Explanation:
Mobilisation of huge financial resources
Limited liability
Ease of transfer of ownership
Perpetual and stable business life
Enormous possibilities of growth and expansion
Efficient management
Public confidence
Positive social benefits
Answer:
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A company is an artificial person created by law ,having a seperate legal entity, with a perpectual succesaion and a common seal.
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Merits of joint stock company are :-
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1.Large capital resources :-
A joint stock company has widespread appeal to investiors of all types. Its capital is divided into shares.
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2.Limited Liability :-
The liability of members of a company is limited to the face value of shares held by him.
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3.Public Goodwill :-
A company enjoys a good reputation and prestige in the business world.
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4.Efficient Management :-
A company can employ highly qualified experts in different areas of business world.
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