Question 1

The officer with the least amount of implied authority in relation to the other officers is the _______.

Accepted Answer

Treasurer

Question 2

A corporate bond issued in the amount of $500,000 is called a ________ bond.

Accepted Answer

Micro

Question 3

The owners of a corporation are the:

Accepted Answer

A)  promoters. 
B)  officers. 
C)  board of directors. 
D)  shareholders 
A)  promoters. 
B)  officers. 
C)  board of directors. 
D)  shareholders D

Question 4

Owners of nonvoting stock who receive a share of the corporate profits have received what is called a _______.

Accepted Answer

The answer of Owners of nonvoting stock who receive a...

Question 5

Shareholders generally have the power and right to do each of the following except:

Accepted Answer

A)  veto a board decision to issue more capital stock. 
B)  veto a board decision to pursue venture capital financing. 
C)  approve structural changes in the corporation through the amending of the articles of incorporation. 
D)  elect and remove officers 
A)  veto a board decision to issue more capital stock. 
B)  veto a board decision to pursue venture capital financing. 
C)  approve structural changes in the corporation through the amending of the articles of incorporation. 
D)  elect and remove officers

Question 6

Corporations are afforded full First Amendment political speech protection.

Accepted Answer

A) True 
 B)False

Question 7

Thirteen sorority sisters decide to start a dog walking business.They incorporate under the name Pro Canine Walkers,Inc.and advertise their services throughout the city in newspapers and with flyers they post.All stock is owned by the thirteen principals and none is offered to anyone outside of the thirteen.This corporation would be classified as:

Accepted Answer

A)  a privately held corporation. 
B)  a privately held public corporation. 
C)  a privately held professional corporation. 
D)  a privately held public professional corporation 
A)  a privately held corporation. 
B)  a privately held public corporation. 
C)  a privately held professional corporation. 
D)  a privately held public professional corporation

Question 8

For a corporation to be privately held,the number of shareholders will be limited as will the permitted total of gross revenues.

Accepted Answer

A) True 
 B)False

Question 9

An insurance company can not qualify for Subchapter S corporate status.

Accepted Answer

A) True 
 B)False

Question 10

The Revised Model Business Corporation Act mandates that all corporations other than single member corporations maintain a board of directors with at least three members who are independent of the officers and shareholders.

Accepted Answer

A) True 
 B)False

Question 11

Which of the following gives a person the right to vote at an annual meeting?

Accepted Answer

A)  a debenture 
B)  a share of stock 
C)  a bond 
D)  a promissory note 
A)  a debenture 
B)  a share of stock 
C)  a bond 
D)  a promissory note

Question 12

Le Magasin de Vêtements,Inc.is a clothing retailer incorporated in France.If they transact business in New York,Le Magasin de Vêtements would be characterized as a/an:

Accepted Answer

A)  domestic corporation. 
B)  foreign corporation. 
C)  alien corporation. 
D)  native corporation 
A)  domestic corporation. 
B)  foreign corporation. 
C)  alien corporation. 
D)  native corporation

Question 13

The expiration date of a corporate bond is also called its _______.

Accepted Answer

The answer of The expiration date of a corporate bond...

Question 14

The authority of an officer to bind the corporation must expressly flow from the bylaws or through board of director mandates.

Accepted Answer

A) True 
 B)False

Question 15

Which of the following is an incorrect statement?

Accepted Answer

A)  a corporation may file suit in its own name without the principals filing suit 
B)  a corporation may form a contract in its own name without the principals guaranteeing the contract 
C)  a corporation can be sued without the principals being sued 
D)  a corporation may incur obligations separate from those of its principals 
A)  a corporation may file suit in its own name without the principals filing suit 
B)  a corporation may form a contract in its own name without the principals guaranteeing the contract 
C)  a corporation can be sued without the principals being sued 
D)  a corporation may incur obligations separate from those of its principals

Question 16

Kate owns 1000 shares of stock in a corporation.As an owner of the corporation by virtue of her stock ownership,if she enters into a contract on behalf of the corporation the company will be bound by her actions.

Accepted Answer

A) True 
 B)False

Question 17

A corporation incorporated in Utah and doing business in Nevada is classified as ________ in Nevada.

Accepted Answer

The answer of A corporation incorporated in Utah and doing...

Question 18

What is the difference between a derivative action and a direct action regarding shareholder lawsuits and what are the typical grounds for these suits?

Accepted Answer

A derivative action is a lawsuit brought

Question 19

A lawsuit against an officer or director brought by a shareholder is called a ________ suit.

Accepted Answer

The answer of A lawsuit against an officer or director...

Question 20

Officers,directors and controlling shareholders are often called _______.

Accepted Answer

The answer of Officers,directors and controlling shareholders are often called...

Exam 15: Corporations

The officer with the least amount of implied authority in relation to the other officers is the _______.

A corporate bond issued in the amount of $500,000 is called a ________ bond.

The owners of a corporation are the:

Owners of nonvoting stock who receive a share of the corporate profits have received what is called a _______.

Shareholders generally have the power and right to do each of the following except:

Corporations are afforded full First Amendment political speech protection.

For a corporation to be privately held,the number of shareholders will be limited as will the permitted total of gross revenues.

An insurance company can not qualify for Subchapter S corporate status.

The Revised Model Business Corporation Act mandates that all corporations other than single member corporations maintain a board of directors with at least three members who are independent of the officers and shareholders.

Which of the following gives a person the right to vote at an annual meeting?

Le Magasin de Vêtements,Inc.is a clothing retailer incorporated in France.If they transact business in New York,Le Magasin de Vêtements would be characterized as a/an:

The expiration date of a corporate bond is also called its _______.

The authority of an officer to bind the corporation must expressly flow from the bylaws or through board of director mandates.

Which of the following is an incorrect statement?

Kate owns 1000 shares of stock in a corporation.As an owner of the corporation by virtue of her stock ownership,if she enters into a contract on behalf of the corporation the company will be bound by her actions.

A corporation incorporated in Utah and doing business in Nevada is classified as ________ in Nevada.

What is the difference between a derivative action and a direct action regarding shareholder lawsuits and what are the typical grounds for these suits?

A lawsuit against an officer or director brought by a shareholder is called a ________ suit.

Officers,directors and controlling shareholders are often called _______.

Legal Foundations

Business and the Constitution

The American Judicial System,Jurisdiction,and Venue

Resolving Disputes: Litigation and Alternative Dispute Resolution Options

Business,Societal,and Ethical Contexts of Law

Overview and Formation of Contracts

Contract Performance: Conditions, Breach, and Remedies

Contracts for the Sale of Goods

Torts and Product Liability

Agency and Employment Relationships

Employment Regulation and Labor Law

Employment Discrimination

Choice of Business Entity, Sole Proprietorships, and Partnerships

Limited Liability Partnerships, limited Liability Companies, and Other Business Arrangements

Regulation of Securities, corporate Governance, and Financial Markets

Administrative Law

Environmental Law

Antitrust and Regulation of Competition

Creditors Rights and Bankruptcy

Consumer Protection Law

Criminal Law and Procedure in Business

Personal Property, Real Property, and Land Use Law

Intellectual Property

International Law and Global Commerce

Filters