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What is the difference between a member and a shareholder in a company limited by guarantee?
  • a)
    A member must hold shares, while a shareholder need not hold any shares.
  • b)
    A shareholder has a right to transfer shares, while a member does not have such a right.
  • c)
    A member has liability limited to the amount of their shares, while a shareholder's liability is unlimited.
  • d)
    There is no difference between a member and a shareholder in such a company.
Correct answer is option 'B'. Can you explain this answer?
Most Upvoted Answer
What is the difference between a member and a shareholder in a company...
In a company limited by guarantee, there is a distinction between a member and a shareholder. A shareholder has the right to transfer shares, while a member does not have this right. However, both terms are often used interchangeably.
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What is the difference between a member and a shareholder in a company limited by guarantee?a)A member must hold shares, while a shareholder need not hold any shares.b)A shareholder has a right to transfer shares, while a member does not have such a right.c)A member has liability limited to the amount of their shares, while a shareholder's liability is unlimited.d)There is no difference between a member and a shareholder in such a company.Correct answer is option 'B'. Can you explain this answer?
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What is the difference between a member and a shareholder in a company limited by guarantee?a)A member must hold shares, while a shareholder need not hold any shares.b)A shareholder has a right to transfer shares, while a member does not have such a right.c)A member has liability limited to the amount of their shares, while a shareholder's liability is unlimited.d)There is no difference between a member and a shareholder in such a company.Correct answer is option 'B'. Can you explain this answer? for B Com 2024 is part of B Com preparation. The Question and answers have been prepared according to the B Com exam syllabus. Information about What is the difference between a member and a shareholder in a company limited by guarantee?a)A member must hold shares, while a shareholder need not hold any shares.b)A shareholder has a right to transfer shares, while a member does not have such a right.c)A member has liability limited to the amount of their shares, while a shareholder's liability is unlimited.d)There is no difference between a member and a shareholder in such a company.Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for B Com 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for What is the difference between a member and a shareholder in a company limited by guarantee?a)A member must hold shares, while a shareholder need not hold any shares.b)A shareholder has a right to transfer shares, while a member does not have such a right.c)A member has liability limited to the amount of their shares, while a shareholder's liability is unlimited.d)There is no difference between a member and a shareholder in such a company.Correct answer is option 'B'. Can you explain this answer?.
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