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Meaning of Debentures

State the fol...

Question

State the following statement is True or False:
Shareholders take initiative to form a company.

A

True

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B

False

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Solution

The correct option is B False
It is not true that shareholders take initiative to form a company. Shareholders are the one who invests in the company and helps in the capital formation of company. Entrepreneur initiates to form a company with the help of Promoters.

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