Which of the Following Is a Distinguishing Feature of a Widely

question 42

Multiple Choice

Which of the following is a distinguishing feature of a widely held or public corporation?

• A) They are exempt from most of the obligations of security legislation.
• B) Letters patent are filed in each jurisdiction.
• C) Shares are normally traded on the stock exchange.
• D) Articles of association are filed in each jurisdiction.

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Definitions:

Current Assets

Resources anticipated to be turned into cash, sold off, or used up within a year or over the course of the operational cycle, depending on which period extends further.

Current Ratio

A liquidity ratio that measures a company's ability to pay short-term obligations or those due within one year.

Accounts Receivable Turnover

A financial metric that measures how many times a company collects its average accounts receivable balance within a specific period.

Preceding Year

Refers to the year that immediately comes before the current year.