Document that creates a corporation that must be filed with the state.
What are articles of incorporation?
100
One major disadvantage to a traditional corporation includes the fact that is it subject to this; meaning it is taxed at corporate level and again at the individual level.
What is double taxation?
100
This group is elected by shareholders.
What are the Board of Directors?
100
The lowest price for which stock can be sold.
What is par value?
100
States in which partners in an LLP are fully protected from personal liability.
What is a full shield state?
200
Borrowed money that is backed by collateral and used to help in the creation of the corporation.
What is secured debt?
200
A corporation who's earnings are taxed at the share holder level.
What is an S corporation?
200
The _______ _______ is free to make all decisions regarding the business.
What is a sole proprietor?
200
This term refers to the number of shares provided for in a corporation's certificate of formation which may be purchased by shareholders.
What are authorized shares?
200
Money used to form and operate a business or other venture.
What is capital?
300
Agreements entered into be promotors on behalf of a yet-to-be formed corporation.
What are preincorporation contracts?
300
A sole proprietor is taxed in his or her ______.
What is individual tax bracket?
300
An entity that may be managed by either members or appointed managers.
What is a Limited Liability company?
300
Common stock holders have ______ rights.
What are voting rights?
300
Duty to act in utmost good faith and fair dealing>
What are fiduciary duties?
400
Holding the individual shareholders liable for corporate obligations.
What is piercing the veil?
400
The type of tax return filed by a partnership on behalf of the business.
What is an informational return?
400
Partners that are precluded from management in a partnership.
What are limited partners?
400
Right to purchase shares at specified price at a specified time.
What is an option?
400
internal rules governing corporate procedures and operation.
What are by-laws?
500
Distributions paid when a corporation is insolvent.
What are illegal dividends?
500
A partner pays tax on _____ not distributions?
What are earnings?
500
Partners that may take on full liability responsibility but also share equal management and profit rights.
What are general partners?
500
Distributions are usually guaranteed if a person holds _____ stock.
What is preferred?
500
Minimum number of person required to transact business.