Which of the Following Would Not Be True of a Privately

question 136

Multiple Choice

Which of the following would not be true of a privately held corporation?

• A) It is sometimes called a closely held corporation.
• B) Its shares are regularly traded on the New York Stock Exchange.
• C) It does not offer its shares for sale to the general public.
• D) It is usually smaller than a publicly held company.

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Definitions:

Disposable Income

The amount of money that households have available for spending and saving after income taxes have been accounted for. It is a key indicator of economic health and consumer spending.

Consumption

The consumption of products and services by families, an essential element in measuring a nation's Gross Domestic Product (GDP).

Savings

The portion of disposable income not spent on consumption of goods and services, often placed in a deposit account.

Disposable Income

Funds apportioned to households for saving and spending after the settlement of income taxes.