16) It is the maximum number of shares that a corporation may issue as provided in its articles of incorporation*

A) Outstanding shares

B) Issued shares

C) Subscribed shares

D) Authorized shares

17) When a partner is personally solvent and has a debit balance in his or her partnership capital account, the personal assets should be distributed as follows?*

A) To the partnership creditors first to the extent of the debit balance and to the personal creditors second

B) To the personal creditors in full payment of their claims first, to the partnership creditors second, and to the other partners last

C) Proportionally to the personal and partnership creditors

D) Proportionally to the personal creditors and the other partners with credit balances

18) Which of the following best describes legal capital?*

A) Par value of shares issued and subscribed and share premium

B) Stated value of shares issued and share premium

C) Par value of shares issued and share premium

D) Total shareholders' equity

19) Which of the following best describes the admission of a new partner by investing an amount equal to the agreed capital?*

A) Total Assets - Decrease; Total Capital - No effect; Old Partners' P&L Ratio - No effect

B) Total Assets - Increase; Total Capital - Increase; Old Partners' P&L Ratio - Decrease

C) Total Assets - No effect; Total Capital - Increase; Old Partners' P&L Ratio - Decrease

D) Total Assets - Increase; Total Capital - No effect; Old Partners' P&L Ratio - No effect

20) The characteristic of the partnership form of business that can possibly hinder long term planning for the business is the*

A) Unlimited liability

B) Limited life

C) Mutual agency

D) Voluntary association

Kindly support your answer with a brief explanation so I could understand better. Thanks!