How are shareholders of a corporation viewed in legal terms?O None of these describe the legal relationship of the owner to the business.O The assets of the owner are not considered separate from the asset of the business.O The owner and the business are separate legal entities.O The owner and the business are not separate legal entities.

This is thus because, inside a company, the owners, or shareholders, and the corporation itself are…

Answered: How are shareholders of a corporation…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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When may a corporation sell, lease, exchange, mortgage, or pledge all or substantially all of its assets in the usual and regular course of its business? b. When may a corporation sell, lease, exchange, mortgage, or pledge all or substantially all of its assets other than in the usual and regular course of its business? c. What are the rights of a shareholder who dissents from a proposed sale or exchange of all or substantially all of the assets of a corporation other than in the usual and regular course of its business?
What is a disadvantage of the corporate form? Profit O Revenue Owners have very little influence on business decisions O Limited liability
A benefit of a sole proprietorship is that liability is limited to that of the business financial and assets not the personal assets of the owner/proprietor. true or false
Please no written by hand solutions A negotiable instrument that gives the owner a proportionate interest in a corporation regarding control, earnings, and net assets.
An individual provides accounting services to a corporation in exchange for stock. the shareholder must recognize income and the corporation may deduct or capitalize the expenditure as would be deemed appropriate. A. True B. False
Decide which of the following statements are true. I. In most circumstances, the owners of corporations enjoy reduced liability, increased liquidity and greater growth potential than owners of other forms of business. II. The term "LLC" or "Limited Liability Company", is a corporation that elects to limit liability for its shareholders through the use of off-shore and special purpose entities. II. The corporate form of business can help shield its owners from the liabilities of the corporation. Select one: O a. One is true. O b. Two are true. O C. All are true. O d. All are false.
Why do you think a single WACC is not applicable to all businesses in a corporation?
* Explan.
What is one of the primary objectives of accounting for business amalgamations? A) To recognize the fair value of the acquired assets and liabilities. B) To minimize tax liabilities for the acquiring company. C) To maintain separate accounting records for the acquiring and acquired entities. D) To increase shareholder dividends in the acquiring company.
A corporation may not deduct dividends paid to shareholders but is permitted to deduct reasonable compensation? True or False
If the assets of a corporation are not sufficient to satisfy the claims of its creditors, the creditors can make claims against the personal assets of the owners. True or False The owners of a corporation are personally responsible for the debts of the corporation. True or False
How does the Model Business Corporation Act affect the way corporations operate?

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