A corporation in which the shares are held by one shareholder or a small group of shareholders and the stock is not actively traded is a(n):

Question

Quizplus · Accepted Answer

A corporation with only one shareholder or a small group of shareholders, in which the shares are not actively traded, is known as a close corporation. This type of corporation is typically used by family businesses or small groups of investors who want to maintain control over the company without having to deal with public shareholders.

A Corporation in Which the Shares Are Held by One