Question 1

A corporation always protects the owners from personal liability.

Accepted Answer

A) True 
 B)False  False

Question 2

Limited liability companies are

Accepted Answer

A)  synonymous with limited partnerships. 
B)  a form of corporation. 
C)  a type of legal entity different from all others. 
D)  the same as a general corporation that limits liability of shareholders. 
A)  synonymous with limited partnerships. 
B)  a form of corporation. 
C)  a type of legal entity different from all others. 
D)  the same as a general corporation that limits liability of shareholders. B

Question 3

On dissolution,a partnership requires

Accepted Answer

A)  partners to share losses equally. 
B)  limited partners to assist in payment of debt of the partnership. 
C)  payment of debts before distribution of assets. 
D)  None of the above. 
A)  partners to share losses equally. 
B)  limited partners to assist in payment of debt of the partnership. 
C)  payment of debts before distribution of assets. 
D)  None of the above. C

Question 4

Inherent authority allows the agent to exceed the authority of the principal

Accepted Answer

A)  when good opportunities arise. 
B)  for that which is reasonably necessary to accomplish the object of the agency. 
C)  only when specifically granted permission in advance. 
D)  None of the above. 
A)  when good opportunities arise. 
B)  for that which is reasonably necessary to accomplish the object of the agency. 
C)  only when specifically granted permission in advance. 
D)  None of the above.

Question 5

Agency can be used in

Accepted Answer

A)  partnerships. 
B)  corporations. 
C)  sole proprietorships. 
D)  All of the above. 
A)  partnerships. 
B)  corporations. 
C)  sole proprietorships. 
D)  All of the above.

Question 6

__________is when one party acts on behalf of another.

Accepted Answer

The answer of  __________is when one party acts on...

Question 7

A(n)  __________is an agreement of two or more to engage in a business or enterprise with shared profit or loss.

Accepted Answer

The answer of A(n)  __________is an agreement of two...

Question 8

Match the most appropriate term to the definition.
-Ends automatically at the death of one of the owners

Accepted Answer

A) par value 
B) dissolution 
C) personal liability 
D) indefinite life span 
E) partnership
F)sole proprietorship
G)corporation
H)limited partnership
I)pooling agreement
J)ratification 
A) par value 
B) dissolution 
C) personal liability 
D) indefinite life span 
E) partnership
F)sole proprietorship
G)corporation
H)limited partnership
I)pooling agreement
J)ratification

Question 9

A business in which one or more owners is not permitted to have input into the regular operations is a

Accepted Answer

A)  general corporation. 
B)  limited partnership. 
C)  general partnership. 
D)  sole proprietorship. 
A)  general corporation. 
B)  limited partnership. 
C)  general partnership. 
D)  sole proprietorship.

Question 10

Agency can be created

Accepted Answer

A)  by express conduct. 
B)  by implied conduct. 
C)  after the party acts on behalf of another. 
D)  All of the above. 
A)  by express conduct. 
B)  by implied conduct. 
C)  after the party acts on behalf of another. 
D)  All of the above.

Question 11

A corporation's life continues indefinitely.

Accepted Answer

A) True 
 B)False

Question 12

Match the most appropriate term to the definition.
-A characteristic unique to a corporation

Accepted Answer

A) par value 
B) dissolution 
C) personal liability 
D) indefinite life span 
E) partnership
F)sole proprietorship
G)corporation
H)limited partnership
I)pooling agreement
J)ratification 
A) par value 
B) dissolution 
C) personal liability 
D) indefinite life span 
E) partnership
F)sole proprietorship
G)corporation
H)limited partnership
I)pooling agreement
J)ratification

Question 13

__________is a corporation that makes good faith attempts to meet the requirements of law for corporate status.

Accepted Answer

The answer of  __________is a corporation that makes good...

Question 14

Bankruptcy can be used to create payment arrangements or eliminate debt.

Accepted Answer

A) True 
 B)False

Question 15

__________shareholders are often entitled to higher and more frequent dividends.

Accepted Answer

The answer of  __________shareholders are often entitled to higher...

Question 16

__________is a corporation that meets all requirements of law for corporate status.

Accepted Answer

The answer of  __________is a corporation that meets all...

Question 17

On a resolution to dissolve,a corporation

Accepted Answer

A)  may continue to do business for 180 days. 
B)  must cease all new business immediately. 
C)  must cease all business of any nature immediately. 
D)  may continue to do regular business activity until all creditors are paid. 
A)  may continue to do business for 180 days. 
B)  must cease all new business immediately. 
C)  must cease all business of any nature immediately. 
D)  may continue to do regular business activity until all creditors are paid.

Question 18

A corporation's legal status

Accepted Answer

A)  ends on the date stated in articles of incorporation unless renewed. 
B)  ends on death of the primary shareholder. 
C)  has no specific lifespan at its inception. 
D)  ends on the date established by the secretary of state when the articles are filed. 
A)  ends on the date stated in articles of incorporation unless renewed. 
B)  ends on death of the primary shareholder. 
C)  has no specific lifespan at its inception. 
D)  ends on the date established by the secretary of state when the articles are filed.

Question 19

A business that ends automatically with a change in the only member of ownership is a

Accepted Answer

A)  partnership. 
B)  sole proprietorship. 
C)  general partnership. 
D)  corporation. 
A)  partnership. 
B)  sole proprietorship. 
C)  general partnership. 
D)  corporation.

Question 20

Match the most appropriate term to the definition.
-Responsibility of owners for debts of business

Accepted Answer

A) par value 
B) dissolution 
C) personal liability 
D) indefinite life span 
E) partnership
F)sole proprietorship
G)corporation
H)limited partnership
I)pooling agreement
J)ratification 
A) par value 
B) dissolution 
C) personal liability 
D) indefinite life span 
E) partnership
F)sole proprietorship
G)corporation
H)limited partnership
I)pooling agreement
J)ratification

A corporation always protects the owners from personal liability.

Limited liability companies are

On dissolution,a partnership requires

Inherent authority allows the agent to exceed the authority of the principal

Agency can be used in

__________is when one party acts on behalf of another.

A(n) __________is an agreement of two or more to engage in a business or enterprise with shared profit or loss.

Match the most appropriate term to the definition. -Ends automatically at the death of one of the owners

A business in which one or more owners is not permitted to have input into the regular operations is a

Agency can be created

A corporation's life continues indefinitely.

Match the most appropriate term to the definition. -A characteristic unique to a corporation

__________is a corporation that makes good faith attempts to meet the requirements of law for corporate status.

Bankruptcy can be used to create payment arrangements or eliminate debt.

__________shareholders are often entitled to higher and more frequent dividends.

__________is a corporation that meets all requirements of law for corporate status.

On a resolution to dissolve,a corporation

A corporation's legal status

A business that ends automatically with a change in the only member of ownership is a

Match the most appropriate term to the definition. -Responsibility of owners for debts of business

The Historical Basis and Current Structure of the American Legal System

The Courts

Legislation

The Executive Branch and Administrative Authority

Substantive and Procedural Issues

Jurisdiction

The Legal Professional

The Law of Ethics

Torts

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Exam 14: The Law of Business

A corporation always protects the owners from personal liability.

Limited liability companies are

On dissolution,a partnership requires

Inherent authority allows the agent to exceed the authority of the principal

Agency can be used in

__________is when one party acts on behalf of another.

A(n) __________is an agreement of two or more to engage in a business or enterprise with shared profit or loss.

Match the most appropriate term to the definition. -Ends automatically at the death of one of the owners

A business in which one or more owners is not permitted to have input into the regular operations is a

Agency can be created

A corporation's life continues indefinitely.

Match the most appropriate term to the definition. -A characteristic unique to a corporation

__________is a corporation that makes good faith attempts to meet the requirements of law for corporate status.

Bankruptcy can be used to create payment arrangements or eliminate debt.

__________shareholders are often entitled to higher and more frequent dividends.

__________is a corporation that meets all requirements of law for corporate status.

On a resolution to dissolve,a corporation

A corporation's legal status

A business that ends automatically with a change in the only member of ownership is a

Match the most appropriate term to the definition. -Responsibility of owners for debts of business

The Historical Basis and Current Structure of the American Legal System

The Courts

Legislation

The Executive Branch and Administrative Authority

Substantive and Procedural Issues

Jurisdiction

The Legal Professional

The Law of Ethics

Torts

Family Law

Estates and Probate

Property Law

The Law of Contracts

Criminal Law

Criminal Procedure

Filters