1.Which of the following statements are true about closely held corporations?

a.The shares cannot be traded freely with the public

b.They are heavily reliant on a well-crafted shareholder agreement

c.All decisions must be unanimous

d.The are generally small businesses but can be large businesses too

e.The are regulated in the same manner as broadly held corporations

2.Which of the following would be considered a chattel or good?

a.My pet cobra Karl (yes, he's back from quiz 3)

b.A unique business process or method

c.A list of customers, including their contact information

d.A television

e.The merchandise in a grocery store

3.Which of the following could result in a bailment?

a.I lend you a wok because you are hosting a dinner party

b.The contents of a storage locker

c.A car in a parking garage

d.A contract for 100 lbs. of dog food

e.A share in a corporation

4.Which of the following is true of corporations?

a.They have an independent legal personality including all Charter rights

b.In all situations managers and directors are shielded from legal liability for the corporation's actions due to the corporate veil

c.It can set up offices and carry on business in any Province or Territory

d.Their sole interest is to raise profits for the corporation rather than considering other social considerations

e.They operate on the basis of decisions made by shareholders

5.What would be considered true of preferred shares?

a.They have voting rights for directors of a corporation

b.They receive dividends at the same rate as other shareholders

c.They can decide whether a dividend is issued or not

d.They have no access to corporate records

e.None of the above

6.Which of the following is true of securities regulation in Canada?

a.It is governed by the common law

b.It is governed by the Federal government

c.It falls within section 92 of the Constitution Act

d.It only applies to publicly traded shares on a stock market

e.It can be jointly regulated between the Provinces

7.Which of the following would not be considered a shareholder right?

a.To stand for the role of director

b.To have to follow majority decisions of management and directors

c.The right to share in the assets of the corporation upon dissolution

d.To inspect corporate records

e.To have a pre-emptive right to new issuance of shares

8.Which of the following would be considered a fixture on land?

a.A prize set of windchimes

b.A mini fridge

c.A bookcase nailed into the wall

d.A cedar hedge

e.An inflatable wading pool

9.Directors and managers may do which of the following?

a.Declare a dividend

b.Act upon a business opportunity that comes along to them personally

c.Handle the day-to-day business of a corporation

d.Force shareholders out of their ownership position

e.Avoid all possible liabilities

10.Which of the following would not be considered a form of corporate funding?

a.A bank loan

b.Sale of shares

c.A Go Fund Me campaign

d.A charitable campaign

e.The sale of bonds