WorksheetsDissolurion of a Corporation
Total questions: 10
Worksheet time: 5mins
What is the primary governing body that oversees the Dissolution of Corporations in the Philippines?
A) Securities and Exchange Commission (SEC)
B) Department of Trade and Industry (DTI)
C) Bureau of Internal Revenue (BIR)
D) National Economic and Development Authority (NEDA)
Which of the following is NOT a valid reason for voluntary dissolution of a corporation in the Philippines?
A) The corporation has fulfilled its purpose
B) The shareholders have decided to dissolve
C) The corporation has been profitable for many years
D) The corporation is no longer conducting business
What document must be submitted to the SEC to initiate the voluntary dissolution of a corporation?
A) Articles of Incorporation
B) Application for Dissolution
C) Certificate of Incorporation
D) By-laws
In the case of involuntary dissolution, who can file for the dissolution of a corporation?
A) Shareholders
B) Creditors
C) The SEC
D) Any of the above
During the dissolution process, what happens to the corporation’s assets?
A) They are immediately liquidated.
B) They are transferred to shareholders without any obligations.
C) They are used to pay off debts before distribution to shareholders.
D) They are frozen by the SEC.
What is typically the first step in the dissolution process?
A) Liquidating assets
B) Notifying creditors
C) Holding a board meeting to approve dissolution
D) Filing taxes for the final year
Which type of dissolution occurs when a corporation is unable to meet its financial obligations?
A) Voluntary dissolution
B) Involuntary dissolution
C) Administrative dissolution
D) Judicial dissolution
What is the primary purpose of dissolving a corporation?
A) To increase profits
B) To cease operations and settle debts
C) To merge with another company
D) To issue new stock
What is the required vote from shareholders to approve the voluntary dissolution of a corporation?
A) Simple majority
B) Two-thirds majority
C) Unanimous consent
D) Three-fourths majority
What must a corporation do with its liabilities before it can finalize its dissolution?
A) File for bankruptcy
B) Pay off all debts and obligations
C) Notify creditors only
D) Transfer liabilities to shareholders
