When a Corporation Is Owned by Only a Few Shareholders

question 12

Multiple Choice

When a corporation is owned by only a few shareholders, and the shares are generally unavailable to outsiders, the corporation is described as:

• A) Publicly held
• B) Widely held
• C) Diversified
• D) Closely held

---

Definitions:

Life Estates

A legal arrangement where an individual is granted the rights to live in or use a property for the duration of their lifetime, after which the property reverts to another designated party.

Ownership

The legal right or title to possess and use property, goods, or intellectual assets, often associated with certain responsibilities and benefits.

Land

A portion of the earth's surface that is considered property and can include buildings and natural resources.

Abandoned

Property that the owner has deliberately relinquished all right, title, claim, and possession with the intention of terminating ownership but without vesting it in any other person.