Information That Comes to the Agent Because of His Position

question 46

True/False

Information that comes to the agent because of his position as agent must be passed on to the principal.

Identify the need for shareholder approval in corporate asset transactions.

Recognize the legal grounds for corporate dissolution by a court.

Distinguish between the liability structures of different business organizations.

Comprehend the procedures and parties involved in voluntary dissolution.

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Definitions:

General Partner

In a partnership, a member who has unlimited liability for the debts of the business and takes part in its management.

Limited Partner

An investor in a partnership who has limited liability to the extent of their investment and does not take part in the day-to-day management of the business.

Letterhead

The heading at the top of a sheet of letter paper, usually consisting of a name and an address, and often a logo.

Limited Partner

An investor in a partnership who is not directly involved in its daily operations and whose liability is limited to the amount invested.