The Death of a Majority Stockholder of a Corporation Results

question 67

True/False

The death of a majority stockholder of a corporation results in the dissolution of the corporation.

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Definitions:

Articles of Consolidation

Legal documents filed to formalize the merger of two or more corporations, resulting in a single legal entity.

Consolidation

The act of combining multiple entities, assets, or financial statements into a single entity, often for strategic, efficiency, or financial reasons.

Going Private

The process by which a publicly traded company is transformed into a privately held entity, often through the purchase of all outstanding shares.

Hostile Takeover

A takeover to which the management of the target corporation objects.