Four Advantages Of Joint Stock Company.

Write any four advantages of Joint Stock Company.

Answer: Advantages of Joint Stock Company: The advantages of the company are as follows:

1. Huge Amount of Capital: The small value of shares allow a large number of persons to invest so due to limited and issuance of shares, large capital may be raised by a Joint Stock Company. 

2. Limited Liability of Shareholders: The liability of shareholders is limited to the investment of them. It means that if the business is going to be lost, the shareholders are not liable to lose anything from the private property. 

3. Efficient Management: The management of the Joint Stock Company is carried out by directors who are able, experienced and trustees of shareholders. The management is thus, in the hands of experts. 

4. Stability of Business: Life of the company is unlimited. It cannot be liquidated by admission, retirement, insanity, bankruptcy, or death of a shareholder.

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