Comprehension

Sudha Publishing House was a Private Limited Company. The publishing business was growing by leaps and bounds. The demand was huge. It required huge investment to set up its branches and printing base all over the country. The board members were thinking to offer shares to the public to meet investment requirements.
On the basis of above case, answer the following questions

Question: 1

Identify the form of organization, which board members are thinking of.

Updated On: Jan 13, 2026

Hide Solution

Verified By Collegedunia

Solution and Explanation

The board members are thinking of converting the company into a Public Limited Company.

Was this answer helpful?

Question: 2

Which two benefits would be availed if this form is accepted by the company?

Updated On: Jan 13, 2026

Hide Solution

Verified By Collegedunia

Solution and Explanation

Two benefits of becoming a Public Limited Company are:
1. Access to Large Capital: By issuing shares to the public, the company can raise substantial funds required for expansion and meeting investment demands.
2. Enhanced Credibility and Market Presence: Being publicly listed increases the company’s visibility, trustworthiness, and ability to attract investors.

Was this answer helpful?

Questions Asked in CBSE X exam

View More Questions

Identify the form of organization, which board members are thinking of.

Solution and Explanation

Which two benefits would be availed if this form is accepted by the company?

Solution and Explanation

Top Questions on Private and Public company

Questions Asked in CBSE X exam