Is each of the following statements true or false? For each false statement, explain why it is false.
a. A shareholder may bind (obligate) the corporation to a contract.
b. The policy-making body in a corporation is called the board of directors.
c. The owner of 100 preferred shares has greater voting rights than the owner of 100 common shares.
d. A company incorporated under the Canada Business Corporations Act must assign the proceeds of a share issue to the capital account for that type of share.
e. All common shares issued and outstanding have equal voting rights.
f. Issuance of 1,000 common shares at $12.00 per share increases shareholders' equity by $12,000.
g. The stated value of a share is the value assigned to the shares by the company issuing them at the date issued.
h. A corporation issues its preferred shares in exchange for land and a building with a combined market value of $200,000. This transaction increases the corporation's shareholders' equity by $200,000 regardless of the assets' prior book value.