1. UNIT 15. STOCKS AND SHARES
BUSINESS ADMINISTRATION
201103007
Jeeye Jang
2. LIMITED COMPANY
Legal entity that is separate from it’s owners, and is only
liable for the amount of capital that has been invested in
it.
Co.,Ltd
cf. UNLIMITED COMPANY ??
Partners are liable for the company without a limit.
3. PRIVATE LIMITED COMPANY
Memorandum of Association/Certificate of
Incorporation
- company’s name, purpose, registered office, authorized
share capital
Articles of Association/Bylaws
- set out the duties of directors and the rights of
shareholders/stockholders
registrar
4. PUBLIC LIMITED COMPANY
Successful companies can apply to a stock
exchange to become a public
limited company/listed company
Have to send their shareholders an independently
audited report every year, containing the year’s
trading results and a statement of their financial
position.
5. Rights issue Bonus issue
Companies can issue Issue new shares to
new shares when they shareholders instead of
want to raise more paying dividends when
money for expansion. they chose to capitalize
They are offered to part of their profit.
existing shareholders
at first at less than
markey price.
6. VALUE OF SHARES
Share owners can vote at a company’s Annual
General Meeting/Annual Meeting of Stockholders.
Share owners receive a proportion of distributed
profits on the form of dividend or company’s
residual value if it goes into liquidation
