A Corporation in Which the Shares Are Held by One

question 113

Multiple Choice

A corporation in which the shares are held by one shareholder or a small group of shareholders and the stock is not actively traded is a(n) :

• A)nonprofit corporation
• B)small corporation
• C)limited corporation
• D)shared corporation
• E)none of the other choices are correct

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Definitions:

Lesser Sum

An amount of money that is smaller in comparison to another sum, often within the context of payment obligations or settlements.

Debt

An obligation owed by one party (the debtor) to a second party (the creditor), typically involving borrowed money that is expected to be paid back with interest.

Commercial Lease

A legally binding agreement between a landlord and a business tenant for the rental of property used for commercial purposes.

Financial Difficulties

Challenges or problems related to the management of money, such as dealing with debt, insolvency, or inability to meet financial obligations.