Question

Questions from the topic of forms of business organisation​

Answer 1

☃️ Imp. Questions:

1) By whom are the Board of Directors elected in the Joint Stock Company?

Answer: The Board of Directors in the Joint Stock Company are elected by the shareholders$.$

2) What is a Joint Stock Company?

Answer: A joint-stock company is a business controlled by its investors, with each investor enjoying a share based on the amount of stock acquired.

Joint-stock companies are formed in order to finance efforts that are too valuable for an individual or even a government to support. The owners of a joint-stock company demand to share in its profits.

3) Which is the business organisation that is found only in India?

Answer: Joint Hindu Family is the business organisation that is found only in India.

4) Who is a secret partner?

Answer: Secret partner is a partner whose membership in a partnership is maintained secret from the public.

5) What is a partner by estoppel?

Answer: A legally obligatory partnership that might result where, in fact, no formal partnership agreement is in force. A person who by rule or words serves or permits him/herself to be represented, as a partner in an enterprise is responsible for the credit or loans acquired by the enterprise on the basis of such representation. Which is also known as the presumption of partnership.

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