Which of the Following Is True Regarding a Dissolved Corporation

question 91

Multiple Choice

Which of the following is true regarding a dissolved corporation?

• A) A dissolved corporation does not continue its corporate existence.
• B) A dissolved corporation may not carry on any business.
• C) In a voluntary dissolution, liquidation is usually carried out by the secretary of state.
• D) Termination occurs after the winding-up of the corporation's affairs, the liquidation of its assets, and the distribution of the proceeds to the claimants.
• E) Termination occurs as soon as assets are liquidated.

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Definitions:

Cash Account

An account recording the transactions involving cash inflows and outflows.

Direct Labor Costs

These refer to the expenses associated with paying workers who directly manufacture or produce the goods and services.

Work in Process Inventory

Represents goods that are partially completed in a manufacturing process but are not yet finished products.

Cash Account

An account that records the amount of cash transactions a company engages in over a period.