Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FA – FIA FFA › Public and Private companies
- This topic has 1 reply, 2 voices, and was last updated 2 months ago by John Moffat.
- January 18, 2023 at 3:36 am #676815HammadMirParticipant
- Topics: 5
- Replies: 2
1. Public and Private companies both can issue shares according to the Law?
2. Public companies can issue shares in the stock market for public to buy and sell them?
3. Private companies can issue shares to the other people like investors but not in the stock exchange for general public?
4. Limited Liability Companies (LLC) can be either Public company or Private company?
5. Public companies can issue shares to the general public because only they are registered in the stock exchange (and not private companies because they are not registered in stock exchange)?
6. To issue shares to the general public the business must register in the stock exchange and must be a Limited liability company only?
7. Sole Trader is a sort of business where it is run by the owner but it cannot issue shares to the public?
Could u pls correct me if i am wrong and sorry for a lengthy question 🙂January 18, 2023 at 7:07 am #676831John MoffatKeymaster
- Topics: 56
- Replies: 51874
Your first 6 comments are correct although they are not really relevant for Paper FA because the accounting for them is the same. It is Paper LW (the law paper) where they are relevant.
As far as your 7th comment is concerned. a sole trader is owned by the owner and does not have any shares (as is explained in full in my free lectures for Paper FA).
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