Asked by Olivia Davis on May 05, 2024
Verified
Because a close corporation is one whose shares are held by a relatively small group of persons, the firm often operates like a partnership.
Close Corporation
A corporation whose shareholders are limited to a small group of persons, often family members.
Shares
Units of ownership in a corporation or financial asset, representing a portion of the company and conferring certain rights and liabilities to the shareholder.
Partnership
A legal arrangement where two or more individuals engage in business together, sharing profits, liabilities, and decision-making.
- Familiarize oneself with the essential qualities and peculiarities of close and benefit corporations.
Verified Answer
May 06, 2024
Learning Objectives
- Familiarize oneself with the essential qualities and peculiarities of close and benefit corporations.
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