final

Question 1

HOW MANY STATES IN THE UNITED STATES HAVE THEIR OWN CORPORATION LAW?

Answer 1

50

Question 2

HOW DOES A CORPORATION BEGIN ITS LIFE?

Answer 2

FILING OF ARTICLES OF INCORPORATION WITH THE STATE

Question 3

WHAT IS A “S CORPORATION”?

Answer 3

A STATE CORPORATION THAT ELECTS TO BE TAXED UNDER FEDERAL LAW

Question 4

WHICH OF THE FOLLOWING RUN THE DAY-TO-DAY OPERATIONS OF THE CORPORATION?

Answer 4

OFFICERS

Question 5

WHO APPOINTS THE OFFICERS OF THE CORPORATION?

Answer 5

THE DIRECTORS

Question 6

WHICH OF THE FOLLOWING WORDS MUST APPEAR AT THE END OF EVERY CORPORATION?

Answer 6

ALL OF THESE ANSWERS ARE CORRECT

Question 7

WHICH STATE OF INCORPORATION IS USED BY SUBSTANTIAL CORPORATIONS WHO CONDUCT BUSINESS THROUGHOUT THE UNITED STATES OF AMERICA?

Answer 7

DELAWARE

Question 8

IS A NON-PROFIT CORPORATION ALLOWED TO PAY ITS DIRECTORS AND OFFICERS?

Answer 8

YES

Question 9

WHICH OF THE FOLLOWING WORDS MUST APPEAR AT THE END OF EVERY PROFESSIONAL CORPORATION?

Answer 9

P.C.

Question 10

WHICH OF THE FOLLOWING PROFESSIONS ARE ALLOWED TO FORM A PROFESSIONAL CORPORATION

Answer 10

PLUMBER

Question 11

A CORPORATION CAN ONLY BE FORMED IN ____ LOCATIONS:

Answer 11

50

Question 12

THE NAME AND ADDRESS OF A REGISTERED AGENT IS REQUIRED TO BE FURNISHED ON THE ARTICLES OF INCORPORATION IN ORDER TO:

Answer 12

PERMIT SERVICE OF PROCESS ON THE CORPORATION

Question 13

HOW MANY VOTES DOES A PREFERRED SHAREHOLDER POSSESS?

Answer 13

NONE OF THESE ANSWERS ARE CORRECT

Question 14

CAN A CORPORATION INCORPORATED IN TEXAS DO BUSINESS IN THE STATE OF DELAWARE?

Answer 14

YES.

Question 15

ALL IMPORTANT CORPORATE DOCUMENTS ARE KEPT IN:

Answer 15

THE MINUTE BOOK

Question 16

WHAT AMOUNT OF CURRENCY IS DEFINED AS “PAR VALUE”

Answer 16

IT DEPENDS ON WHAT IS STATED IN THE ARTICLE OF INCORPORATION AND/OR THE CORPORATE BYLAWS

Question 17

A SHAREHOLDER DIVIDEND IS

Answer 17

A SHAREHOLDER’S RIGHT TO PARTICIPATE IN THE CORPORATION’S PROFITS

Question 18

WHICH STATE IS ACTIVELY CHALLENGING DELAWARE TO BECOME THE LEADING STATE FOR NEW CORPORATE FORMATIONS?

Answer 18

TEXAS

Question 19

IF A SHARE OF CORPORATE COMMON STOCK HAS BEEN DESIGNATED AS “NO PAR VALUE” WHAT IS THE LEAST AMOUNT OF MONEY THAT THE SHARE IS ALLOWED TO BE SOLD?

Answer 19

NONE OF THESE ANSWERS ARE CORRECT

Question 20

WHAT IS THE DIFFERENCE BETWEEN A PUBLIC CORPORATION AND A CLOSE CORPORATION?

Answer 20

A PUBLIC CORPORATION CAN SELL ITS SHARE OF CAPITAL STOCK TO THE GENERAL PUBLIC

Question 21

A BUSINESS CHECK IS A :

Answer 21

NEGOTIABLE INSTRUMENT

Question 22

IN ORDER TO MARKET A FRANCHISE THE FRANCHISOR MUST POSSESS WHAT?

Answer 22

A MARK

Question 23

WHAT IS THE NAME OF THE GOVERNMENT ENTITY THAT REGULATES THE CREATION, PURCHASE AND SALE OF PUBLIC SECURITIES

Answer 23

THE SECURITIES AND EXCHANGE COMMISSION

Question 24

IF AN ACT IS ILLEGAL IS IT ALWAYS UNETHICAL?

Answer 24

YES

Question 25

WHO ARE THE PARTICIPANTS IN A LIMITED LIABILITY COMPANY?

Answer 25

MEMBERS

Question 26

WHO APPOINTS A CORPORATION'S SHAREHOLDERS?

Answer 26

NONE OF THESE ANSWERS ARE CORRECT

Question 27

WHAT DO THE DIRECTORS OF A CORPORATION OWE TO THE SHAREHOLDERS?

Answer 27

FIDUCIARY DUTY

Question 28

WHAT FIDUCIARY DUTIES ARE OWED BY THE MEMBERS OF A LIMITED LIABILITY COMPANY?

Answer 28

THE DUTY OF LOYALTY AND THE DUTY OF CARE

Question 29

WHAT IS THE NAME OF THE LEGAL INSTRUMENT USED TO FORM A LIMITED LIABILITY COMPANY?

Answer 29

ARTICLES OF ORGANIZATION

Question 30

WHAT IS THE PRIMARY FEDERAL LAW USED IN THE FORMATION OF CORPORATIONS

Answer 30

NONE OF THESE ANSWERS ARE CORRECT

Question 31

WHAT IS A MERGER?

Answer 31

WHEN ONE CORPORATION IS ABSORBED INTO ANOTHER CORPORATION AND ONLY ONE CORPORATION SURVIVES

Question 32

WHICH CHAPTER OF THE BANKRUPTCY CODE IS GENERALLLY RESERVED FOR BUSINESSES?

Answer 32

CHAPTER 11

Question 33

A CHECK IS ALSO KNOWN AS A:

Answer 33

NEGOTIABLE INSTRUMENT

Question 34

A CORPORATE ENTITY THAT WAS FORMED PURSUANT TO ARTICLES OF ORGANIZATION IS CALLED:

Answer 34

A LIMITED LIABILITY COMPANY

Question 35

GENERALLY, WHAT LIABILITIES ARE THE SHAREHOLDERS RESPONSIBLE FOR PAYING?

Answer 35

NONE

Question 36

AN ENTITY THAT REQUIRES ALL PRODUCTS AND PROCEDURES TO BE STRICTLY FOLLOWED IS KNOWN AS A :

Answer 36

FRANCHISE

Question 37

LAWS THAT ARE ENACTED AND ENFORCED IN ORDER TO PREVENT BUSINESSES FROM ENGAGING IN UNFAIR TRADE PRACTICES ARE KNOWN AS:

Answer 37

ANTITRUST LAWS

Question 38

UNDER WHAT FEDERAL LAW(S) CAN A CORPORATION BE FORMED?

Answer 38

NONE

Question 39

WHAT IS THE NAME OF THE LEGAL ACTION THAT ARISES WHEN TWO CORPORATIONS COMBINE AND THEREAFTER ONE OF THOSE CORPORATIONS CEASE TO EXIST?

Answer 39

MERGER

Question 40

CAN A PARALEGAL DRAFT ARTICLES OF INCORPORATION FOR A CLIENT WITH REVENUES UNDER $1,000 PER ANNUM PROVIDED THAT THE CLIENT CONSENTS IN WRITING TO THAT ACTION?

Answer 40

NO

Question 41

WHEN HAS A PARALEGAL VIOLATED ATTORNEY CLIENT PRIVILEGE?

Answer 41

NEVER