Preferred shareholders:

Question 27 options:

	rank ahead of secured bondholders on a liquidation
	rank ahead of common shareholders on a liquidation
	rank ahead of unsecured bondholders on a liquidation
	aren't entitled to dividends

Question 28 (1 point)

An officer of a corporation would be a:

Question 28 options:

	vice-president
	a cleaning lady
	director
	valet parking attendant

Question 29 (1 point)

Concurrent holders of land each of whom have no right of survivorship is called a:

Question 29 options:

	joint tenancy
	tenancy in common
	life estates
	easements

Question 30 (1 point)

Revocation of an offer to be valid must

Question 30 options:

	reach the offeree
	need only be attempted by the offeror
	reach the offeror
	none of the above

Question 31 (1 point)

Dividends:

Question 31 options:

	are a method by which corporations returns profits to employees
	are a method by which corporations return profits to shareholders
	are a method by which corporations return profits to directors
	none of the above

Question 32 (2 points)

Saved

Sally and Bob have just entered into a contract to buy a house. In order to finance the purchase, they signed a mortgage for $300,000.00 on June 1 with a local Property Bank that registered the mortgage on June 12. To furnish the house, they took out another mortgage with Up-Town Credit Union for $25,000.00. This mortgage was signed on June 9 and registered the same day. Unknown to the other two lenders, Sally and Bob took out a third mortgage with a friend, Jim for $25,000.00 on June 5, which was registered on June 11. What is the order of propriety of the mortgages?

Question 32 options:

	Jim, Property Bank, Up-Town Credit Union
	Property Bank, Up-Town Credit Union, Jim
	Property Bank, Jim, Up-Town Credit Union
	Up-Town Credit Union, Property Bank, Jim
	Up-Town Credit Union, Jim, Property Bank

Question 33 (1 point)

Saved

In Ontario, one incorporates by filing:

Question 33 options:

	a shareholder's agreement
	Letters Patent
	a Charter
	Articles of Incorporation

Question 34 (1 point)

If a party to a contract is the victim of an Innocent misrepresentation he or she may:

Question 34 options:

	sue for specific performance
	sue for an injunction
	sue for damages
	sue for rescission of the contract

Question 35 (1 point)

Saved

Adams, a creditor of Brown, threatened to sue Brown for an overdue debt. Brown's friend Cox then promised to pay Brown's debt to Adams if Adams would refrain from suing Brown, and Adams agreed. if Cox failed to pay Adams as agreed, and Adams sued him for breach of contract, she would:

Question 35 options:

	succeed
	fail
	be guilty of breach
	seek restitution

Question 36 (1 point)

Saved

A mortgagee is:

Question 36 options:

	the debtor
	an unsecured creditor
	the lender
	the borrower

Question 37 (1 point)

Saved

A default in a mortgage occurs:

Question 37 options:

	when a monthly payment is made
	when the last payment is made
	when the first payment is made
	none of the above

Question 38 (1 point)

Voluntary transfers of land does not include

Question 38 options:

	adverse possession
	a gift
	a deed
	a transfer

Question 39 (1 point)

A Transfer can also be referred to as a:

Question 39 options:

	deed
	mortgage
	right of way
	charge

Question 40 (1 point)

A covenant requiring the owner of the land to refrain from certain conduct or certain use of land is called:

Question 40 options:

	an easement
	a restrictive covenant
	a right of way
	adverse possession

Question 41 (1 point)

A party to a contract who entered into the contract by way of undue influence may claim:

Question 41 options:

	specific performance
	damages
	quantum merit
	rescission

Question 42 (1 point)

The classes of bonds that a corporation issues is:

Question 42 options:

	contained in the Articles of Incorporation
	contained in the bylaws
	contained in the Corporate charter
	none of the above

Question 43 (1 point)

Corporations typically raise money by:

Question 43 options:

	bylaws
	Articles of Incorporation
	issuing bonds and shares
	winding up

Question 44 (1 point)

The declaration of dividends:

Question 44 options:

	is done by a resolution of the majority of shareholders
	is done by a resolution of the shareholders
	is done by the accountant/auditor of the corporation
	is done by a resolution of the Board of Directions

Question 45 (1 point)

Saved

A winding up is a court action requiring:

Question 45 options:

	the removal of a director of the corporation
	the liquidation of the corporation
	the purchase of shares of the corporation
	the amalgamation of the corporation

Question 46 (1 point)

Past consideration:

Question 46 options:

	amounts to a breach of a major term of a contract
	is a form of fresh consideration.
	must be in writing
	is no consideration

Question 47 (1 point)

A unit owner in a condominium holds:

Question 47 options:

	a fee simple estate
	a life estate
	a tenancy

Question 48 (1 point)

Private Corporations:

Question 48 options:

	almost always have freely transferable shares
	almost always have at least 3 directors
	almost always have bonds
	almost always restrict the transfer of shares

Question 49 (1 point)

Using another person's land for a period of at least 20 years may give a landowner:

Question 49 options:

	an easement by prescription
	a fee simple estate
	a life estate
	a restrictive covenant

Question 50 (1 point)

Saved

The right of the mortgagee to exercise a Power of Sale is:

Question 50 options:

	contained on title insurance
	found in the deed or transfer
	found in the mortgage itself
	a court action

Question 51 (1 point)

If a debtor becomes insolvent:

Question 51 options:

	general creditors are paid first
	secured creditors are paid first
	general and secured creditors share ratably
	general and secured creditors share equally

Question 52 (1 point)

Saved

In a contract formed on the internet the supplier:

Question 52 options:

	is the offeree
	is the offeror
	is the promisee
	none of the above

Question 53 (1 point)

If someone agrees to grossly inadequate consideration:

Question 53 options:

	the courts generally generally will not assist him/her.
	this is a gratuitous promise
	he/she can get out of the contract
	this is called past consideration

Question 54 (1 point)

Saved

The primary advantages of the business corporation are:

Question 54 options:

	the creation of shares and bonds
	the separation of ownership and management and unlimited liability
	the separation of ownership and management and limited liability
	the transfer of ownership

Question 55 (2 points)

You are an investment advisor at the Royal Bank of Canada. A 30-year old comes in to see you for advice investing their life savings of $500,000.00. They tell you they have a high risk tolerance and want to see their investment grow. Your advice will must likely be:

Question 55 options:

	purchase unsecured bonds in the Royal Bank of Canada
	purchase bonds in a local gold mining company
	purchase secured bonds in the Royal Bank of Canada
	purchase common shares in the Royal Bank of Canada

Question 56 (1 point)

The famous corporate case Salmon v. Salmon & Co Ltd. stands for the legal principal that:

Question 56 options:

	the corporation is a distinct separate legal personality from the shareholders of the corporation
	a director is a creditor of the corporation
	a shareholder owes no duty to the corporation
	a shareholder owes no duty to other shareholders

Question 57 (1 point)

The fee simple is:

Question 57 options:

	Adverse Possession
	as close to complete ownership as the law allows
	a Life Estate
	a Charge