Which of the Following Statements About Corporations Is True

question 54

Multiple Choice

Which of the following statements about corporations is true?

• A) The corporate officers appoint directors to run the corporation's day-to-day operations.
• B) The death, insanity, or bankruptcy of a director or an officer of a corporation dissolves the corporation.
• C) Corporations can be put in prison for violations of the law.
• D) Corporations usually have a centralized management composed of the board of directors and officers of the corporation.

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Definitions:

Financial Statement Forecasts

Projections of future financial performance based on historical data, current trends, and expected outcomes, often used in business planning and analysis.

Comprehensive Financial

Also known as comprehensive income, includes all changes in equity during a period except those resulting from investments by owners and distributions to owners.

Comprehensive Risk Analysis

An extensive assessment that identifies, evaluates, and measures the potential impact of various risks on an organization's objectives.

Individual Risks

Personal or specific uncertainties that can affect the outcome of an investment or venture.