A fiduciary is a person who undertakes a certain enterprise on behalf of another person. O True O False A truck driver who drives a company truck on a regular basis is most likely an employee. O True O False Kay and Leo form Metro Delivery Inc. Responsibility for all policymaking decisions necessary to the management f corporate affairs rests with Metro's O a. incorporators. O b. shareholders. O c. board of directors. O d. officers. The primary document needed to incorporate a business is the articles of incorporation because the articles serve as a primary source of authority for the firm's organization and functions. O True O False The corporation's internal rules of management are the O a. bylaws. O b. articles of incorporation. O c. shareholder statement. O d. amendments. When a shareholder commingles personal and corporate interests so that the firm has no separate identity, the shareholder may be held liable for the firm's debts. O True O False Integrated Devices, Inc., is a private, for-profit corporation that is owned by seven shareholders who are members of the same family. Integrated is O a. a public corporation and a private corporation. O b. a close corporation. O c. a benefit corporation. O d. an S corporation.Don is a shareholder of Energy Renew Inc. When the directors fail to undertake an action to redress a wrong suffered by the firm, Don files a suit on its behalf. Don's suit is O a. the duty of a majority shareholder. O b. a preemptive right. O c. unethical and illegal. O d. a shareholder's derivative suit. Brad is a shareholder of Cloud Servers Inc. He will be deemed to have a fiduciary duty to Cloud and its minority shareholders if he has a sufficient number of shares to O a. bring a shareholder's derivative suit. O b. assert a preemptive right. O c. exercise actual control over the corporation. O d. participate in a cumulative vote. Ben is a director of Creation Corporation, an architectural firm. Without informing Creation, Ben goes into business with Design, Inc., a Creation competitor. Ben is liable for breach of O a. the duty of care. O b. the business judgment rule. O c. the duty of loyalty. O d. breach of contract. An S Corporation must have no more than fifty shareholders. O True O False A corporation formed in one state and doing business in another is referred to as a O a. S corporation. O b. alien corporation. O c. domestic corporation. O d. foreign corporation. Today, most states follow the UPA and treat a partnership O a. as an entity. O b. as a person. O c. None of these choices. O d. as a sole proprietorship.Winding up is the process of collecting. liquidating. and distributing the partnership assets. 0 True 0 False The owner of an LLC is called 0 a. an agent. 0 b. a member. 0 c. an entrepreneur. C) d. a principal. Starting a sole proprietorship is easier and less costly.F than starting an},F other kind ofhusiness. D True D False News is a partner in Orchard Farm. Neva gives notice to quit the rm. which otherwise continues to do business. This is D a. illegal. C" b. dissociation. C} c. dissolution. O dun-ethical. Rena establishes and operates Sweet Homes. a constructionconnecting outt. as a sole proprietorship. In the course of doing business. the outt fails to pay some of its debts. To satisfy the obligations. the rm's creditors can go after Cl a.the owner's personal assets only. C} tlthe rtn's assets only. C} 1:. None ofme choicesthe creditors must bear the losses. 0 lithe rrn's assets and the owner's personal assets. Dissolution of a partnership can be brought about by O a. judicial decree. O b.the acts of the partners. 0 {2. operation of law 0 CLAII of these choices