Class 12 Accounting for Company and Share notes
Company and Share. ... Short & Easy Notes for B oard Exam #1. What do you mean by Company? => A company is an artificial person created by law. Having a capital divided into transferable shares. Following are its features i. It is Association of person. ii. Created by law. iii. It has a separate legal entity. iv. It has Limited liabilities. v. It cannot be affected by death by its member. vi. The share of the company are freely Transferable. vii. It is managed by vote of director. #2. Difference between private company and public company. => Private company; i. The minimum number of members is 2 and maximum number is 200. ii. Cannot invite public to purchase its share and debenture. iii. Restriction of transfer of share. iv. It cannot issue prospectus. v. 'Private Limited' must be used after his name. vi. It cannot invite public for deposit. Public company; i. The minimum number of members is 7 and there is no limit to maximum. ii. Public invitation is manda...