Ch 26,27,28

Question 1

to elect directors, amend bylaws, approve of a merger

Answer 1

stockholders

Question 2

sually able to vote at stockholder’s meetings, entitled to receive dividends before common stockholders, and entitled to receive stock certificates.

Answer 2

preferred stockholders

Question 3

The liability of the stockholder for the debts of a corporation is

Answer 3

Limited amount invested

Question 4

a corporation may obtain financing through means of

Answer 4

common stock, (preferred stock) or (bonds)

Question 5

A technique for enabling large stockholders to exercise control in a corporation is

Answer 5

cumulative voting

Question 6

A corporation comes into existence when the

Answer 6

when a sate issues a charter

Question 7

Handles the day to day management of the corporation

Answer 7

officers

Question 8

When the corporation is taxed on their income and the shareholder is also taxed on their dividends?

Answer 8

double taxation

Question 9

acts of a corporation that exceed its express or implied authority are called

Answer 9

Ultra Vires acts

Question 10

Major corporate policy is determined by

Answer 10

Board of Directors

Question 11

Business activity that a state has authority to regulate within its borders is called

Answer 11

intrastate commerce

Question 12

To be valid, this must be reasonable and is needed to promote a public interest.

Answer 12

Government regulation

Question 13

to maintain competition, to protect the rights of consumers, employees, and owners, and to protect the environment.

Answer 13

Purpose of government regulations

Question 14

One way government regulation can be achieved?

Answer 14

Taxations

Question 15

the most heavily regulated industry in the U.S is…

Answer 15

Security industry

Question 16

to protect the public, to require persons to meet educational standards, and to require applicants to show competence.

Answer 16

purpose of licensing laws

Question 17

laws that prohibit the sale of certain goods on a certain day of the week are called

Answer 17

Sunday Laws

Question 18

True or False? A lawyer needs to have a license to practice law.

Answer 18

True

Question 19

business arrangement between a business (franchisor) and a franchisee?

Answer 19

Franchise

Question 20

DAILY DOUBLE!!! Name two teams in the final four…

Answer 20

Wichita State, Syracuse, Louisville, Michigan

Question 21

The sale of securities is regulated by the

Answer 21

security and exchange comission

Question 22

have executive, judicial and legislative power…

Answer 22

Administrative agencies created by congress

Question 23

A zoning board is an example of

Answer 23

Administrative agency at the local level

Question 24

The most important law passed by Congress to prevent monopolies is called the

Answer 24

Sherman Act

Question 25

Administrative Agencies exist at what three levels?

Answer 25

federal state and local

Question 26

Sole proprietorship:

Answer 26

business owned and operated by one person.

Question 27

Partnership:

Answer 27

association of two or more persons to carry on, as co-owners, a business for profit.

Question 28

trading partnership

Answer 28

partnership doing business for commercial purposes

Question 29

non trading partnership

Answer 29

partnership doing business for professional purposes

Question 30

general partner

Answer 30

partner fully active and known to the public

Question 31

Silent Partnership

Answer 31

Partner known to the public but inactive in management

Question 32

Secret partnership

Answer 32

partner unknown to the public but active in management

Question 33

Dormant partnership

Answer 33

unknown to the public and inactive in management

Question 34

limited partner

Answer 34

partner whose liability is limited to the capital invested

Question 35

joint and several liability

Answer 35

liability of partners as a group or individually

Question 36

dissolution

Answer 36

termination of partnership

Question 37

The most common form of business organizations is the

a. corporation b. limited partner ship c. sole proprietorship d. partnership

Answer 37

d. partnership

Question 38

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

Answer 38

d. owners risks

Question 39

A medical partnership is classified as: a. trading partnership b. limited partnership c. joint venture d. non trading partnership.

Answer 39

d.non trading

Question 40

LLC

Answer 40

limited partnership and permits all partners to participate in management while enjoying limited liability

Question 41

LLP: limited liability partnership

Answer 41

limited partnership in which professionals avoid personal avoid personal liability but pay corporate-type taxes

Question 42

joint venture

Answer 42

association of two or more companies or persons engaged in a common project

Question 43

syndicate

Answer 43

a less formal type of joint venture

Question 44

cooperative

Answer 44

non profit business arrangement for the benefit of member

Question 45

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

Answer 45

b. silent partner

Question 46

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

Answer 46

d. joint and several liability

Question 47

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

Answer 47

a. equal