Bill and Ted Decide to Set Up a Small Company

question 28

Multiple Choice

Bill and Ted decide to set up a small company to invest in real estate.Before incorporating they find a prime piece of real estate that is suitable for investment purposes.They want to buy the property through a limited company but have not as yet incorporated.They attend at a lawyer's office for purposes of filing articles of incorporation.The lawyer asks them what name they plan to use for the corporation.Bill immediately says "Bill and Ted's Excellent Investments Inc." The lawyer advises them that she will need some time to have the name approved through the appropriate government office.Bill tells the lawyer there is no time to wait for the name approval.In these circumstances Bill and Ted can

• A)tell the real estate agent to "hold off" for a couple of days until the name is approved.
• B)use a "number name" where the registry simply assigns a number to the new corporation and worry about the name change later.
• C)opt to form a partnership instead.
• D)file a "request to delay name of corporation form" at the time of filing the articles of incorporation.
• E)hire a new lawyer.

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Definitions:

Demand

The amount of a product or service that customers are willing and able to purchase at a given price in a specific market context.

Subcontracting Cost

Expenses incurred when a company contracts out work to external suppliers or vendors.

Seasonal Demand

Relates to fluctuations in consumer demand for certain products or services that occur at regular intervals due to seasonality, such as holidays or weather changes.

Stockout

a situation where inventory items are not available in stock when demanded by a customer, leading to potential sales loss and customer dissatisfaction.