-Initial Steps:

• File application with the Secretary of State
• The State grants a charter, which is a?
• Corporation develops by-laws, which are?

-Companies generally incorporate in a state whose laws are favorable to the corporate form of business, and one of the most popular states to incorporate in is? _________

-Why is Corporate Management listed as both an advantage and a disadvantage?

• Companies issue common stock directly to investors or indirectly through an _________ ________ firm.
• Five factors in setting price for a new issue of stock are:
  1. Companys anticipated future _________
  2. Expected _________ rate per share
  3. Current financial position of the company
  4. Current state of the ________
  5. Current state of securities market