Distinction Between Private And Public Companies - SS1 Economics Past Questions & Answers - page 1

1

Which type of company is not publicly traded?

A

Private company

 

 

B

Public company

C

Both

CORRECT OPTION: a
2

Which type of company is required to disclose financial information to the public?

A

Private company

 

B

Public company

C

Both

CORRECT OPTION: b
3

Which type of company has a more complex management structure?

A

Private company

 

 

B

Public company

C

Both

CORRECT OPTION: b
4

Which type of company has ownership limited to a small group of individuals or a single person?

A

Private company

 

 

B

Public company

C

Both

CORRECT OPTION: a
5

Which type of company has shares that can be bought and sold by the general public?

A

Private company

 

 

B

Public company

C

Both

CORRECT OPTION: b
6

Differentiate between private and public companies. 

The different features between a private and public company is enumerated below:

I. Private Companies:

  • Owned by a small group of individuals or a single person

  • Not publicly traded

II. Public Companies:

  • Owned by the general public through shares of stocks

  • Publicly traded on stock exchanges

 

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