1. X, Y and Z each owns 10% of the capital stock of a corporation. X exercised his pre-emptive right to new shares while Y offered his corresponding new shares to Z who purchased the same, thereby increasing Z's proportionate holdings. Has X a ground for complaint?
2. X Inc and Y Inc are sister companies with the same set of officers. May X be held liable for the obligations of Y?
3. A corporation was organized for the purpose of engaging in the buying and selling of home appliances. One day, it decided to buy motor vehicles. Is this a valid corporate act?
4. Suppose it be desired that Corporation X be incorporated with a capital stock of P100,000.00 divided into 1,000 shares with a par value of Php100.00 per share. How much stock is required to be subscribed and paid up?
5. May individuals organize a corporation by mere agreement like in the formation of a general partnership? Explain.
6. A corporation borrowed money for the purpose of paying dividends. Is this legal?
7. Seven (7) years before the expiration of the corporate term of existence, the corporation applied with the Securities and Exchange Commission for extension f said term. Under the law, can the extension be granted?
8. If one (1) out of nine (9) directors was removed, how may the vacancy in the board be filled?
9. X, a director in a corporation, sold all his shares to Y. Is X qualified to be a director?
10. X Corporation sold a parcel of land worth P500,000. To Y Corporation for only P300,000. Z is a board member of both corporations.

• If the interest of Z in both corporations is 20%, is there a valid contract?
• If the interest of Z in both corporations exceeds 20%, is there a valid contract?