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Which statement concerning the transferability of shares

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Problem 1: Which statement concerning the transferability of shares in a company is correct?

A. If a shareholder decides to transfer ownership, he/she must transfer all the shares owned.

B. A shareholder may dispose of part or all of his/her shares.

C. A shareholder must obtain permission from the board of directors before selling shares.

D. A shareholder must obtain permission from at least three other shareholders before selling shares.

Problem 2: The ability of a company to obtain capital is

A. enhanced because of limited liability and ease of share transferability.

B. limited because the capital is divided into shares.

C. restricted because of the limited life of a company.

D. about the same as a partnership.

Reference no: EM132756561

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