What is a debenture?

$$ A$.$

a loan to a director of a company.

$$ B$.$

a loan to a member of a company.

$$ C$.$

a secured loan to a person who may or may not be a member of a company.

$$ D$.$

a loan that allows the company to demand payment at any time.

The benefit of a company investing money is

$$ A$.$

returns will be consistent over a long period of time.

$$ B$.$

the company will grow with the initial investment.

$$ C$.$

returns will be paid immediately.

$$ D$.$

the investment amount will be guaranteed.

A participating preference share

$$ A$.$

can stand in the queue twice for dividends.

$$ B$.$

gets paid their dividends before ordinary shares.

$$ C$.$

can demand that a dividend be paid, even when the company has mot made a profit.

$$ D$.$

A and B above.

A universal partnership terminates

$$ A$.$

when one of the parties joins another partnership.

$$ B$.$

when one of the parties dies.

$$ C$.$

at the end of a specific task or job.

$$ D$.$

on the date stipulated by the partnership agreement.

when a company comes into existence it can NOT

$$ A$.$

Change the terms and conditions of the pre$-$incorporation contract.

$$ B$.$

partially accept the pre$-$incorporation contract.

$$ C$.$

accept the pre$-$incorporation contract.

$$ D$.$

reject the pre$-$incorporation contract.

If a company rejects a pre$-$incorporation contract

$$ A$.$

the incorporator can sue the company.

$$ B$.$

the incorporator can walk away with no further obligations.

$$ C$.$

the incorporator is personally liable for the obligations in the contract.

$$ D$.$

the incorporator steps into teh shoes of the company.

A personal liability company is one where

$$ A$.$

the corporate veil of the company can be lifted easily.

$$ B$.$

the directors may be liable for company debts in certain circumstances.

$$ C$.$

the shareholders can insist that dividends be paid.

$$ D$.$

the directors are also shareholders.