What do you understand by joint-stock company
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What do you understand by joint-stock company
- A joint-stock corporation or a company is an enterprise possessed by its investors, with each investor occupying a share based on the quantity of stock he has paid for.
- Joint-stock corporations are formulated to support and finance endeavours that are too costly for a person or even for a parliament to fund. The holders of a joint-stock business predict to share in its earnings.
The joint-stock company is divided into three several kinds of business:
- Chartered Company: A business encompassed by the governor or the head of the nation is recognised as a chartered company.
- Statutory Company: A company that is constructed by a special law of the government is recognised as a statutory company. Here, all the strength, protest, right, and duty are all interpreted by the law.
- Registered Company: A form of organisation that is constructed by enrolling under the legislation of the corporation that comes under an enlisted business.
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