When a corporation's shares are owned by a few individuals who are associated with the firm's management, we say that the stock is closely held. a. true b. false

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25-08-2022
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When a corporation's shares are owned by a few individuals who are associated with the firm's management, we say that the stock is closely held. a. true b. false

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okpalawalter8 okpalawalter8 · Answer 1 · 2022-08-30T14:57:20+02:00

When a corporation's shares are owned by a few individuals who are associated with the firm's management, we say that the stock is closely held. This statement is TRUE

This is further explained below.

What is management?

Generally, Management is the process of administering an organization, whether that organization is a for-profit enterprise, a not-for-profit group, or a governmental agency. The management of a company's available resources is both an art and a science.

In conclusion, The stock of a company is considered "intimately held" when it is owned by a small number of people who are all closely connected to the company's management. The aforementioned assertion is correct.