When It Is Unlawful to Declare Dividends Because of a Deficiency

question 7

Multiple Choice

When it is unlawful to declare dividends because of a deficiency in the capital fund and yet the shareholders want a quick pay-out,then

• A)Revenue Canada can issue "not withstanding" tax credits.
• B)the corporation needs to earn enough profits to restore the deficiency.
• C)shareholders can lend money to the corporation and receive interest payments in return.
• D)the corporation can re-capitalize at a lower amount.
• E)wages can be paid to officers instead of dividends.

---

Definitions:

Ethnoscapes

Refers to the landscape of persons who have shifted their location, offering a perspective on how groups are not limited by geographic boundaries in a globalized world.

Arjun Appadurai

A notable anthropologist and scholar known for his work on globalization, particularly focusing on the cultural dimensions of economic exchange.

Cultural Hybrids

Refers to the blending of elements from different cultures to create new cultural practices, expressions, or identities.

Appadurai's Landscapes

A theoretical framework proposed by Arjun Appadurai to describe the complex global flow of goods, people, technology, ideas, and images across cultural boundaries.