The President of a Business Corporation Does Not Have Implied

question 37

True/False

The president of a business corporation does not have implied authority to execute commercial paper in the name of the corporation.

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Definitions:

Liabilities

Financial obligations or debts that a company owes to others, which must be paid in the future.

Stockholders' Equity

The residual interest in the assets of a corporation after deducting liabilities, representing ownership equity spread among shareholders.

Assets

Assets are possessions or property that a company owns or controls with the anticipation of receiving future economic gains.

Expenses

Costs incurred in the process of earning revenue; may include costs like rent, salaries, and utilities.