Which are types of incorporated companies?

• A. Sole trader and partnership
• B. Nonprofit company and sole trader
• C. Public and private partnerships
• D. Private Limited Company (Ltd) and Public Limited Company (PLC)

Answer: (D)

Incorporation means the business becomes a separate legal entity from its owners, with limited liability for its shareholders. The standard forms of incorporated companies are private limited companies (Ltd) and public limited companies (PLC). A private limited company keeps its shares private and typically has restrictions on share transfers, while a public limited company can offer its shares to the public and may be listed on a stock exchange, usually subject to stricter regulatory and capital requirements. The other options describe unincorporated structures (like sole traders and partnerships), where the owners’ personal liability is not separated from the business. The two main types of incorporated companies here are Ltd and PLC.