A business scenario of a joint

A business scenario of a joint - loses but not the people...

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
Business Scenario A business scenario of a joint-stock corporation would be an investment banker, who along with other investment bankers, (or those of the same earnings), that devote some money into an entrepreneur’s flourishing business. The bankers would then obtain stock in that business enterprise (such as a transport company). All the investment bankers, alongside the entrepreneur, would divide the business stock, in that way making it a joint-stock corporation. In other words, a joint-stock company is an accumulation of resources by shareholders who want to start a business enterprise but do not have enough resources. They divide the earnings in the end. However, if the venture fails, the loss will be collected by everyone as opposed to another project with the same accumulation of wealth but underneath the shade of a limited liability company and the corporation
Background image of page 1
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: loses but not the people. The accountability of each such person is limited to the face value of the shares he/she obtain. This form of institute is very trendy in the field of major production and delivery due to its greater benefits per individual. Not all of the shareholders direct the business themselves. They leave the management into the control of their council and holder of property on behalf of the beneficiary, also known as the board of directors. A partnership is the association presented among two or more people who unite to take on a trade or company. Each person supplies funds, assets, work, or ability, and anticipates sharing in the earnings and losses of the production. A sole proprietorship is not a divided legal unit with a uniqueness of its own and nor can it own possessions in its name. The proceeds are charged at an individual revenue tax level....
View Full Document

{[ snackBarMessage ]}

Ask a homework question - tutors are online