Which of the Following Is Untrue Regarding Closely Held Corporations

question 24

Multiple Choice

Which of the following is untrue regarding closely held corporations?

• A) Most corporations in the U.S. are closely held.
• B) Shareholders frequently restrict the transfer of shares to prevent "outsiders" from obtaining the stock.
• C) Shareholders usually have little voice in the management and control of the business.
• D) Some states have enacted special legislation to accommodate the needs of closely held corporations.

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Definitions:

Human Capital

The combined abilities, expertise, and non-material assets possessed by people that can generate economic benefits for themselves, their companies, or society.

Ethnic Minorities

Groups within a community which differ from the majority population in race, national or cultural origin, and often have distinct social and economic practices.

Discrimination

Unfair treatment of individuals based on characteristics such as race, gender, age, or sexual orientation.

Average Wages

The mean wage calculated by dividing the total wage bill by the number of wage earners; it represents the midpoint of wage distribution in a given area or sector.