Question

Company's owners are shareholders. So the company property belongs to the share holders. Do you agree with this statement?

• A. Yes
• B. No
• C. Sometimes yes
• D. Sometimes no

Answer 1

Answer: (B)

No

Shareholders are not the owners of the company or its undertaking or property. The property belongs to the company and the shareholders have no direct proprietary rights on the company's property. They are only given certain rights by laws, e.g., the right to receive notices of general meetings, to attend these meetings, to vote and to receive dividends when declared.