Both the Directors and Shareholders of Big X Corporation Are

question 53

Multiple Choice

Both the directors and shareholders of Big X Corporation are tired of the business,and want to end it.How should they proceed?

• A) The board of directors should recommend dissolution, the shareholders should vote on the issue of dissolution, and assuming there is a majority vote by the shareholders favoring dissolution, articles of dissolution must be filed with the secretary of state in the state of incorporation.
• B) All that is necessary is a shareholder vote in favor of dissolution.
• C) All that is necessary is that the board of directors vote in favor of dissolution.
• D) If both the board of directors and the shareholders vote in favor of dissolution, all business dealings must cease, notice must be placed in newspapers of general circulation, and signs must be posted at all places of business.
• E) The board of directors should vote, and articles of dissolution must be filed with the secretary of state in the state of incorporation, but there is no requirement that shareholders vote on the issue of dissolution.

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Definitions:

Output

The aggregate output of goods and services generated by an economy.

Inflation Rate

The percentage rate at which the general level of prices for goods and services is rising, eroding purchasing power over time.

Unemployment Rate

The percentage of the labor force that is jobless and actively seeking employment, serving as a key indicator of labor market performance.

Mass Production

The manufacturing of large quantities of standardized products, often using assembly lines or automated technologies.