Final answer:
P&P Enterprises, as a closely held corporation, would not have its shares publicly traded (option B). Shareholders can restrict share transfers, and the corporation can operate without a formal board of directors, but minority shareholder protections are not guaranteed and depend on individual corporate governance provisions.
Step-by-step explanation:
When George & Mark are considering different business forms for P&P Enterprises, if they opt for a closely held corporation with themselves and ten other investors as shareholders, it would not be true that P&P Enterprises' shares will be publicly traded. Closely held corporations typically restrict the number of shareholders and do not offer their shares for public trading on stock exchanges. Unlike publicly traded companies, closely held corporations can indeed have more control over share transfers, restricting shareholders from transferring shares without the consent of other shareholders, thereby preserving the closely-knit ownership structure.
Furthermore, they may operate without a formal board of directors, with the shareholders appointing themselves or others to manage the company. However, the assertion that minority shareholders in a closely held corporation will be provided more protection than in regular corporations is not inherently true; this depends on the mechanisms and bylaws set in place by the corporation itself. Therefore, it's essential to consult the specific corporate governance rules and regulations for the particular state where the corporation is established.