Reference no: EM132586329
Question 1. Under this theory, the nationality of corporation is that of the country whose law it was formed
A. Domicile test
B. Incorporation test
C. Grandfather rule
D. Control test
Question 2. Corporations are distinguished from partnerships .
A. The liability extends up to private properties
B. Created by agreement
C. Interest or ownership is transferable only if the owners consent
D. No dissolution in case of death, withdrawal or resignation of the owner.
Question 3. The power to deny pre-emptive rights to stockholders is:
A. incidental power
B. express power
C. implied power
D. discretionary power
Question 4. They are issued to those who helped in incorporating the corporation or for services rendered in launching the welfare of the same.
A. preferred shares
B. stock in escrow
C. founders shares
D. promotion stock
Question 5. A corporation created in strict compliance with all the legal requirements and whose right to exist as a corporation cannot be successfully attacked in a direct proceeding for that purpose by the State is
A. De facto corporation
B. Corporation by prescription
C. Corporations by estoppels
D. De jure corporation
Question 6. One established for charitable purposes
A. Ecclesiastical corporation
B. Lay corporation
C. Corporation sole
D. Eleemosynary corporation
Question 7. A distribution by a corporation is:
A. stock dividend
B. sale of capital assets
C. sale of the treasury stock
D. property dividend
Question 8. The nationanlity of the corporation determined by the nationality of the stockholders in control of the same is called:
A. domicile test
B. incoporation test
C. management test
D. control test
Question 9. The corporation has a nine member board .Two of the members have sold their shares while two others are abroad. To have a quorum. The number required is:
A. seven
B. five
C. three
D. four
Question 10. This is a public instrument giving authority to vote for stockholder
A. proxy
B. voting trust agreement
C. stock certificate
D. voting trust certificate