1. A partnership agreement

Select one:

A. must be reviewed by legal counsel retained by each partner.

B. is governed exclusively by the terms of the Partnership Act which terms the partners cannot deviate from.

C. may be wholly oral and yet valid and enforceable.

D. must be in writing to be enforceable.

E. cannot be drafted by the individual partners because many are novices and unaware of business pitfalls.

2. The CEO of a corporation is

Select one:

A. in charge of the board meetings.

B. elected by the shareholders.

C. appointed or hired by the board of directors.

D. hired by the president.

E. chosen from the board of directors.

3. Which of the following is NOT a duty of the directors of corporations?

Select one:

A. to adopt by-laws governing the business

B. to take care of the day-to-day business of the corporation

C. to declare dividends

D. to call meetings of shareholders

E. to issue shares

4.The winding up (dissolution) of a corporation can be required by a court in order to rescue a

Select one:

A. bankrupt shareholder.

B. CEO who has reached an impasse with the board of directors.

C. locked-in shareholder.

D. minority shareholder from a buyout by others.

E. director who has been unjustly dismissed.

5. A proceeding brought by one or more shareholders in the name of the corporation in respect of a wrong done to the corporation is referred to as

Select one:

A. an appraisal action.

B. an oppression action.

C. a negligence action.

D. a winding-up action.

E. a derivative action.