Forms of Business Organisation-2 — OCM STD 11 Commerce — Question
Gujarat BoardEnglish MediumSTD 11 CommerceOCMForms of Business Organisation-23 Marks
Question
"Company is managed democratically " - Explain.
✓
Answer
Equity shareholders are the real owners of the company. Each shareholder cannot directly participate in the management of the company.
Shareholders elect their representatives (directors) in the meeting. The Board of Directors manage the company. For each important decision, resolution is passed with majority of shareholders in general meeting.
It can be said that company is managed democratically.
Need a full question paper?
Generate a complete, print-ready paper with questions like this in minutes — across 16+ boards, with answer keys.