Business Organizations "Liberty is over-tired" Rhyme Time
100
These corporation are formed through a special election under the Internal Revenue code and are not taxed at the corporate level; but rather, income is passed through the corporation to the shareholders, who pay taxes on the income individually.
What is an S Corporation
100
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?
100
LLC's are generally taxed at this level, unless the members decide to "check the box" and pay corporate taxes.
What is at the personal level of the members?
100
If all the shareholders had fake certificates, they would have this.
What is mock stock?
200
These corporations have stock that is not publicly traded, including family-owned corporations and corporations with less than 50 shareholders
What is a Statutory Close Corporation?
200
This term refers to shares of stock which are actually held by shareholders
What is issued stock?
200
S Corporations are subject to this kind of taxation which is paid by the individual owners pursuant to Subchapter S of the Internal Revenue Code?
What is pass-through taxation?
200
If a corporation received a letter stating that the board of directors would be held personally liable for the acts of the corporation, they would receive this.
What is piercing the corporate veil mail?
300
This corporation owns stock in another corporation that is sufficient to control the other corporation.
What is a parent corporation?
300
This is stock that has been reacquired by the corporation
What is treasury stock?
300
One major disadvantage to 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?
300
If the required number of participants to take a vote were present in a space where they could also speak their mind, they would have this.
What is a quorum forum.
400
This is a corporation owned by a parent corporation
What is a subsidiary corporation?
400
The amount of consideration received in payment of stock in excess of the par value is known by this term.
What is capital surplus?
400
One of the major advantages to debt financing is the ability of the corporation to do this.
What is to receive the corporate tax benefit of interest payments.
400
If the Adams Family's Uncle owned stock in a company, he would be this.
What is a Fester Investor.
500
These two titles refer to any corporations that are controlled by the same parent corporation.
What is a sister or affiliate corporation?
500
In the event that there is no designation in the certificate of formation and there is only one class of stock authorized by the certificate of formation, it is considered to be this type of stock?
What is common stock?
500
Dividends received by shareholders are subject to this kind of tax.
What is capital gains tax?
500
If the board of directors designated the right to manage a corporation to a group of small-breasted women, it would be called this.