To Prevent a Majority Shareholder from Dominating the Management and Operation

question 42

Multiple Choice

To prevent a majority shareholder from dominating the management and operation of a close corporation, the firm should

• A)require more than a majority of directors approve any board action.
• B)restrict the transferability of shares to outside persons.
• C)reorganize into a sole proprietorship or partnership.
• D)hold special shareholders' or directors' meetings on an annual basis.

Recognize the structure and significance of T accounts in accounting.

Understand how various types of transactions (cash receipts, cash payments, revenues, expenses) are recorded.

Identify the components and purposes of accounts found in the chart of accounts.

Distinguish between asset, liability, and equity accounts and their normal balances.

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Definitions:

Wave Propagate

The process by which wave motion (sound, light, or water waves) travels through a medium from one point to another.

Wave's Depth

The vertical distance from the trough of a wave to its crest, indicating the size of the wave.

Wave Base

The maximum depth at which water movement still causes any significant motion of sediment on the seabed.

Deep Seafloor

The lowest layer of the ocean, extending from the continental margin to the abyssal plain, characterized by high pressure, low temperature, and unique ecosystems.