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Question

Shares of a private company can be sold through __________________.

A
Private circulation
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B
Stock exchange
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C
Private circulation and exchange
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D
None of these
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Solution

The correct option is A Private circulation
The easiest way to sell shares of privately held stock is to get the company that issued them to buy them back. The process of a buyback is relatively simple. However, the sticking point is that the company must authorize a buyback, and if other shareholders want to sell their shares as well, then the company might not be willing to accommodate every shareholder's request.

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