wiz-icon
MyQuestionIcon
MyQuestionIcon
1
You visited us 1 times! Enjoying our articles? Unlock Full Access!
Question

A government company is any company in which the paid-up capital held by the government is not less than

(a) 49 percent

(b) 51 percent

(c) 50 percent

(d) 25 percent

Open in App
Solution

In a government company, the paid-up capital held by the state or central government is at least 51 percent of the total shares. In case the percentage of shares held by the government falls below 51, then the organisation cannot be regarded as a government company. In case, the government holds 49 per cent of shares in a company, the company is considered as a private organisation.

Hence, the correct answer is option (b).


flag
Suggest Corrections
thumbs-up
1
Join BYJU'S Learning Program
similar_icon
Related Videos
thumbnail
lock
Types of Business Enterprises - 2
BUSINESS STUDIES
Watch in App
Join BYJU'S Learning Program
CrossIcon