Fundamental Changes to a Corporation

question 48

Multiple Choice

Fundamental changes to a corporation:

• A) fall within the authority of the board of directors.
• B) include the sale of substantially all of the corporation's assets in the regular course of business.
• C) need to be approved by shareholders,by a majority of the shares present at a meeting at which a quorum is present,under the 1999 amendments to the Revised Act.
• D) require unanimous shareholder approval.

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Definitions:

Equilibrium Price

The price at which the quantity of a good supplied equals the quantity demanded, resulting in market equilibrium.

Market-Determined Price

A price outcome established through the interaction of supply and demand, without external controls.

Binding Price Ceiling

A maximum legal price set below the equilibrium price, leading to shortages as demand exceeds supply.

Equilibrium Level

A situation where the balance between the market's supply and demand stabilizes prices.