A **company** is a legal entity formed by a group of individuals, shareholders, or owners to engage in a business with the primary aim of making a profit. It is an organization that operates in the business and commercial sector.
Key characteristics of a company include:
1. **Legal Entity:** A company is recognized as a separate legal entity distinct from its owners. This separation provides the company with certain rights, obligations, and liabilities.
2. **Ownership:** A company is owned by shareholders who hold shares representing their ownership interest. Shareholders elect a board of directors to oversee the company's management.
3. **Limited Liability:** In most cases, shareholders' liability is limited to the amount invested in the company. This means that their personal assets are protected from the company's debts and liabilities.
4. **Perpetual Existence:** A company has perpetual existence, meaning it can continue its operations even if shareholders change or pass away. It is not dependent on the lifespan of its owners.
5. **Profit Motive:** Companies are established with the primary goal of generating profits. They engage in various business activities to provide goods or services in exchange for revenue.
6. **Regulation:** Companies are subject to various regulations and legal requirements depending on the jurisdiction in which they operate. These regulations may include corporate governance rules, tax laws, and industry-specific regulations.
Companies can take various forms, such as private companies, public companies, limited liability companies (LLCs), and corporations. The structure and regulations governing a company may vary based on its type and the country or region in which it operates.
A company is a legal entity formed by a group of individuals to engage in business activities. It has a distinct legal personality, separate from its owners, and can enter into contracts, own property, and pursue profits or other goals. Companies can take various forms, such as corporations, partnerships, or sole proprietorships.
Answers & Comments
Answer:
A **company** is a legal entity formed by a group of individuals, shareholders, or owners to engage in a business with the primary aim of making a profit. It is an organization that operates in the business and commercial sector.
Key characteristics of a company include:
1. **Legal Entity:** A company is recognized as a separate legal entity distinct from its owners. This separation provides the company with certain rights, obligations, and liabilities.
2. **Ownership:** A company is owned by shareholders who hold shares representing their ownership interest. Shareholders elect a board of directors to oversee the company's management.
3. **Limited Liability:** In most cases, shareholders' liability is limited to the amount invested in the company. This means that their personal assets are protected from the company's debts and liabilities.
4. **Perpetual Existence:** A company has perpetual existence, meaning it can continue its operations even if shareholders change or pass away. It is not dependent on the lifespan of its owners.
5. **Profit Motive:** Companies are established with the primary goal of generating profits. They engage in various business activities to provide goods or services in exchange for revenue.
6. **Regulation:** Companies are subject to various regulations and legal requirements depending on the jurisdiction in which they operate. These regulations may include corporate governance rules, tax laws, and industry-specific regulations.
Companies can take various forms, such as private companies, public companies, limited liability companies (LLCs), and corporations. The structure and regulations governing a company may vary based on its type and the country or region in which it operates.
.
.
.
Do mark the answer as brainliest
Verified answer
Answer:
A company is a legal entity formed by a group of individuals to engage in business activities. It has a distinct legal personality, separate from its owners, and can enter into contracts, own property, and pursue profits or other goals. Companies can take various forms, such as corporations, partnerships, or sole proprietorships.
Explanation:
I HOPE IT WILL HELP you
THANK YOU
MARK ME AS A BRAINLIEST
.
.
.
.