Under the Revised Act, If the Charter Simply States That

question 41

Multiple Choice

Under the Revised Act, if the charter simply states that the corporation elects to have preemptive rights, the shareholders have no preemptive rights with respect to:

• A) shares issued as compensation to directors, officers, and employees.
• B) shares issued within six months of incorporation.
• C) the corporation's unissued shares.
• D) Shares issued as compensation to directors, officers, and also employees and  shares issued within six months of incorporation.

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Definitions:

Designated Authority

An individual or entity officially given the power or responsibility to make decisions.

Referent Power

A form of influence that stems from being admired and respected, rather than holding formal authority.

Group Influences

The effects or impacts that a group may have on the attitudes, beliefs, and behaviors of its members.

Internalized Value

An internalized value is a belief, standard, or principle that an individual adopts as their own guiding behavior or decision-making process.