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Transferability of Interest for a Closely Held Corporation May Be

Question 54

Multiple Choice

Transferability of interest for a closely held corporation may be a problem for which of the following reasons?


A) In Canada, no restrictions may be placed on the selling of shares in corporations.
B) There may be difficulty in finding someone who wants to purchase the shares, knowing that they would have little input in running the company.
C) In Canada, there are laws in place to prevent excessive concentration of ownership within corporations.
D) Selling shares in this form of corporation requires the consent of all other majority shareholders.
E) All of the answers are correct.

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