Ch 26,27,28 Flashcards
to elect directors, amend bylaws, approve of a merger
stockholders
sually able to vote at stockholder’s meetings, entitled to receive dividends before common stockholders, and entitled to receive stock certificates.
preferred stockholders
The liability of the stockholder for the debts of a corporation is
Limited amount invested
a corporation may obtain financing through means of
common stock, (preferred stock) or (bonds)
A technique for enabling large stockholders to exercise control in a corporation is
cumulative voting
A corporation comes into existence when the
when a sate issues a charter
Handles the day to day management of the corporation
officers
When the corporation is taxed on their income and the shareholder is also taxed on their dividends?
double taxation
acts of a corporation that exceed its express or implied authority are called
Ultra Vires acts
Major corporate policy is determined by
Board of Directors
Business activity that a state has authority to regulate within its borders is called
intrastate commerce
To be valid, this must be reasonable and is needed to promote a public interest.
Government regulation
to maintain competition, to protect the rights of consumers, employees, and owners, and to protect the environment.
Purpose of government regulations
One way government regulation can be achieved?
Taxations
the most heavily regulated industry in the U.S is…
Security industry
to protect the public, to require persons to meet educational standards, and to require applicants to show competence.
purpose of licensing laws
laws that prohibit the sale of certain goods on a certain day of the week are called
Sunday Laws
True or False? A lawyer needs to have a license to practice law.
True
business arrangement between a business (franchisor) and a franchisee?
Franchise
DAILY DOUBLE!!! Name two teams in the final four…
Wichita State, Syracuse, Louisville, Michigan
The sale of securities is regulated by the
security and exchange comission
have executive, judicial and legislative power…
Administrative agencies created by congress
A zoning board is an example of
Administrative agency at the local level
The most important law passed by Congress to prevent monopolies is called the
Sherman Act
Administrative Agencies exist at what three levels?
federal state and local
Sole proprietorship:
business owned and operated by one person.
Partnership:
association of two or more persons to carry on, as co-owners, a business for profit.
trading partnership
partnership doing business for commercial purposes
non trading partnership
partnership doing business for professional purposes
general partner
partner fully active and known to the public
Silent Partnership
Partner known to the public but inactive in management
Secret partnership
partner unknown to the public but active in management
Dormant partnership
unknown to the public and inactive in management
limited partner
partner whose liability is limited to the capital invested
joint and several liability
liability of partners as a group or individually
dissolution
termination of partnership
The most common form of business organizations is the
a. corporation b. limited partner ship c. sole proprietorship d. partnership
d. partnership
One disadvantage of sole proprietorship is.
a. lack of flexibility b. the difficulty in setting it up c. the expense of setting it up d. owners risks
d. owners risks
A medical partnership is classified as: a. trading partnership b. limited partnership c. joint venture d. non trading partnership.
d.non trading
LLC
limited partnership and permits all partners to participate in management while enjoying limited liability
LLP: limited liability partnership
limited partnership in which professionals avoid personal avoid personal liability but pay corporate-type taxes
joint venture
association of two or more companies or persons engaged in a common project
syndicate
a less formal type of joint venture
cooperative
non profit business arrangement for the benefit of member
An inactive partner known by the public to be a partner is called a. limited partner b. general liability c. group liability d.dormant partner
b. silent partner
The liability of partners as a group and individually is called
a. collective liability b. general liability c. group liability d.joint and several liability
d. joint and several liability
Unless otherwise agreed, the partners shares of profits are.
a. equal b. based on the amount each partner invested c. based on the partners work performed d. based on the partners salaries
a. equal
