What Is Ordinarily the First Step in the Formation of a Corporation

question 37

Multiple Choice

What is ordinarily the first step in the formation of a corporation?

• A) Development of by-laws for the corporation
• B) Issuance of the corporate charter
• C) Application for incorporation to the appropriate Secretary of State
• D) Registration with the SEC

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Definitions:

Mechanistic

An organizational structure that is hierarchical and bureaucratic, with clear lines of authority, formal rules, and procedures.

Specialization

The process of focusing one's skills or resources on a specific field or area of expertise, leading to increased efficiency and knowledge.

Formalized

The process of establishing certain procedures or behaviors in a structured and officially sanctioned manner.

Span Of Control

The number of subordinates that a manager or leader can directly manage effectively.