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The appeals court held thatSelected Answer:piercing the corporate veil was not warranted.Answers:piercing the corporate veil was not warranted.Florence had an opportunity to mitigate damages.Shelby was liable for the $114,557 owed to Florence.the veil could be pierced.Question 170.5 out of 0.5 pointsMany corporations choose to incorporate in Delaware. Which of the following is NOT an advantage to incorporating in Delaware?Selected Answer:Delaware's tax structure provides significant tax benefits to out-of-state corporations incorporating in the state of Delaware.Answers:Delaware statutes provide officers and directors strong protections fromshareholder lawsuits alleging management negligence.Delaware's tax structure provides significant tax benefits to out-of-state corporations incorporating in the state of Delaware.Delaware has a well-established body of case law, so the reliability and consistency of judicial decisions are enhanced.Delaware statutes give officers and directors a wide range of decision-making latitude, not requiring shareholder consent.Question 180.5 out of 0.5 pointsWhich body of law governs the rules regarding the offering or trading of ownership
interests in corporations?Selected Answer:Federal law.Answers:State law.Federal law.The Revised Model Business Corporation Act.Common law.Question 190.5 out of 0.5 pointsAn enterprise may not be a Subchapter S corporation if it owns more than ________ of the stock of a subsidiary corporation.Selected Answer:80 percentAnswers:50 percent80 percent70 percent60 percentQuestion 200.5 out of 0.5 pointsPrivately held corporations may issue a ________ in lieu of conducting a formal annual meeting.Selected Answer:unanimous consent resolutionAnswers:testament of meeting occurrenceproof of alternative meetingunanimous consent resolutionstatement of meeting substitutionQuestion 210.5 out of 0.5 pointsCreation and internal governance of corporations is governed bySelected Answer:state laws.Answers:common law.the Revised Model Business Corporation Act.state laws.federal laws.
Question 220.5 out of 0.5 pointsA corporation comes into existence whenSelected Answer:the state accepts the articles of incorporation and issues the charter.Answers:the officers are chosen.the organizational meeting has commenced.the board adopts the bylaws.the state accepts the articles of incorporation and issues the charter.Question 230.5 out of 0.5 pointsRobert Hill Corp. (RHC) is incorporated in the state of Delaware. If it transacts business in Iowa, RHC would be characterized in Iowa asSelected Answer:a foreign corporation.Answers:an alien corporation.a foreign corporation.a domestic corporation.a native corporation.Question 240.5 out of 0.5 pointsWhich of the following gives a person the right to vote at an annual meeting?Selected Answer:a share of stockAnswers:a share of stocka bonda debenturea promissory note