Question 1

Profits kept by a corporation for reinvestment are known by which of the following terms?

Accepted Answer

A)  Saved profit
B)  Approved income
C)  Added earnings
D)  Added profit
E)  Retained earningsF) A) and E)
G) A) and D)

Question 2

Shareholders may not be held personally liable for a defective corporation's actions.

Accepted Answer

A) True 
 B)False

Question 3

Corporations do not exist separately from their shareholders.

Accepted Answer

A) True 
 B)False

Question 4

In the state in which it is incorporated,a corporation is a[n] ________ corporation.

Accepted Answer

A)  Approved
B)  Home
C)  Domestic
D)  Certified
E)  RecognizedF) A) and B)
G) D) and E)

Question 5

Which of the following is not a type of bond that a corporation may issue?

Accepted Answer

A)  Income
B)  Equity
C)  Secured
D)  Unsecured
E)  ConvertibleF) A) and D)
G) None of the above

Question 6

Discuss the rights of corporations,if any,to due process.Also discuss whether corporations have protection with regard to the Fourth Amendment,and in what manner.

Accepted Answer

Courts have ruled that corporations are ...

Question 7

Which of the following is false regarding requirements needed for a business to qualify as an S corporation?

Accepted Answer

A)  Individuals,trusts,partnerships,and in some circumstances corporations can be shareholders.
B)  It must have no more than 100 shareholders.
C)  All S corporations must be domestic corporations.
D)  S corporations can issue only one class of shares,although they need not have identical voting rights.
E)  No shareholder can be a nonresident alien.F) A) and E)
G) D) and E)

Question 8

Among the shareholders of an S corporation,no shareholder may be a nonresident alien.

Accepted Answer

A) True 
 B)False

Question 9

Under limited liability rules,who assumes liability for corporate actions?

Accepted Answer

A)  Shareholders
B)  The corporation,shareholders,and the board of directors
C)  The corporation and shareholders
D)  Corporate executives
E)  The corporationF) A) and B)
G) None of the above

Exam 38: Corporations: Formation and Financing

Shareholders may not be held personally liable for a defective corporation's actions.

Correct Answer
verified

Which of the following is false regarding requirements needed for a business to qualify as an S corporation?

Correct Answer
verified

Corporations do not exist separately from their shareholders.

Correct Answer
verified

Under limited liability rules,who assumes liability for corporate actions?

Correct Answer
verified

Discuss the rights of corporations,if any,to due process.Also discuss whether corporations have protection with regard to the Fourth Amendment,and in what manner.

Correct Answer
verified
Courts have ruled that corporations are ...
View Answer

Which of the following is not a type of bond that a corporation may issue?

Correct Answer
verified

Profits kept by a corporation for reinvestment are known by which of the following terms?

Correct Answer
verified

In the state in which it is incorporated,a corporation is a[n] ________ corporation.

Correct Answer
verified

Among the shareholders of an S corporation,no shareholder may be a nonresident alien.

Correct Answer
verified

Exam 38: Corporations: Formation and Financing

Shareholders may not be held personally liable for a defective corporation's actions.

Correct AnswerverifiedShow Answer

Which of the following is false regarding requirements needed for a business to qualify as an S corporation?

Correct AnswerverifiedShow Answer

Corporations do not exist separately from their shareholders.

Correct AnswerverifiedShow Answer

Under limited liability rules,who assumes liability for corporate actions?

Correct AnswerverifiedShow Answer

Discuss the rights of corporations,if any,to due process.Also discuss whether corporations have protection with regard to the Fourth Amendment,and in what manner.

Correct AnswerverifiedCourts have ruled that corporations are ...View AnswerShow Answer

Which of the following is not a type of bond that a corporation may issue?

Correct AnswerverifiedShow Answer

Profits kept by a corporation for reinvestment are known by which of the following terms?

Correct AnswerverifiedShow Answer

In the state in which it is incorporated,a corporation is a[n] ________ corporation.

Correct AnswerverifiedShow Answer

Among the shareholders of an S corporation,no shareholder may be a nonresident alien.

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
Courts have ruled that corporations are ...
View Answer

Correct Answer
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Correct Answer
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Correct Answer
verified

Correct Answer
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