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Question

The term disinvestment is more popularly used ____________________________.

A
Where a holding company sells shares of a Subsidiaray company
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B
Where an investment company off loads its holding
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C
Where central / State government sells its holdings of public sector companies
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D
None of the above
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Solution

The correct option is C Where central / State government sells its holdings of public sector companies
The term disinvestment is more popularly used where central/ state government sells its holdings of public sector companies.Disinvestment means selling of Public investment to a Private entrepreneur.Disinvestment of the public sector can be defined as a process of transferring the ownership of any enterprise from public to private sector.

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