Fundamentals of Corporation

On major advantage of a corporation is:

• Always have profits

• Limited Liability

• minimum failure

• All of the above

_________________ are those which have capital stock divided into shares and are authorized to distribute to the holders of such shares, dividends, or allotments of the surplus profits on the basis of the shares held

• Stock corporations

• Non-stock corporation

_______________ are those who compose a corporation, whether as stockholders or shareholders in a stock corporation or as members in a nonstock corporation.

• Corporators

• Incorporators

• Members

• Board Members

_______________ are those stockholders or members mentioned in the articles of incorporation as originally forming and composing the corporation and who are signatories thereof.

• Corporators

• Incorporators

• Members

• Board Members

______________ are shares of stock which have been issued and fully paid for, but subsequently reacquired by the issuing corporation through purchase, redemption, donation, or some other lawful means.

• Founders’ Shares

• Redeemable Shares

• Treasury shares

• Common Shares

True or False. A corporation shall have perpetual existence unless its articles of incorporation provides otherwise.

• True

• False

True or False. Minimum Capital Stock Not Required of Stock Corporations.

• True

• False

Revised Corporation Code of the Philippines.

• Republic Act No. 11232

• Republic Act No. 11233

• Republic Act No. 11332

• Republic Act No. 12232

True or False. Only a natural person can put up an OPC

• True

• False

The order in which a corperation is created is

• CEO, Director, Shareholders

• Chairman, Officer, CEO

• Board of Directors, CEO, Chairman

• Shareholders, Board of Directors, CEO