Day: April 29, 2020

The right to transfer shares in a private company . . . ?

Select ONE answer:

1. may be restricted.
2. must be restricted.
3. cannot he restricted.
4. None of the above.

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 2

1. Not correct
2. Correct – This is the essence of a private company – the Companies Acts require that shares in a private company cannot be freely bought and sold by the public.
3. Not correct
4. Not correct

 

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