Exam 27: Corporate Formation and Financing

Which of the following is true of corporate bylaws?

________ corporations are also known as public corporations.

A ________ is a long-term unsecured debt instrument that is based on a corporation's general credit standing.

A panel of persons who are elected by the shareholders that make policy decisions concerning the operation of a corporation is known as ________.

Dissolution of a corporation that has begun business or issued shares upon recommendation of the board of directors and a majority vote of the shares entitled to vote is known as ________.

If a court judicially dissolves a corporation,it enters a(n)________ that specifies the date of dissolution.

Corporate shares are freely transferable by a shareholder by sale,assignment,pledge,or gift unless they are issued pursuant to certain exemptions from securities registration.

Nonprofit corporations are private corporations that are formed for charitable,educational,religious,or scientific purposes.

A(n)________ is a debt security with a maturity of five years or less.

Owners of a corporation who elect the board of directors and vote on fundamental changes in the corporation are known as ________.

Issued shares that have been repurchased by the corporation are referred to as ________.

Notes can be either unsecured or secured.

An act by a corporation that is beyond its express or implied powers is called a(n)________.

Which of the following would be considered an express power of a corporation?

A liquidation preference is the right to receive a fixed dividend at set periods during the year.

Which of the following is true of treasury shares?

Local government corporations are often called ________ corporations.

On the judicial side,Delaware has a special court that hears and decides business cases known as the ________.

According to priority,which of the following claimants is the last to be paid after assets have been liquidated of a corporation?

An S corporation can be a member of an affiliated group of corporations.