What Is the First Step in Incorporating a Company

question 119

Multiple Choice

What is the first step in incorporating a company?

• A) Write the articles of incorporation.
• B) Hold an organizational meeting.
• C) Select the company's name.
• D) Buy necessary licences and pay required taxes.

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Definitions:

Income Statement

A financial report that shows a company's revenues and expenses over a specified period, culminating in the net profit or loss for that period.

Future Benefit

The expected benefit that will be derived from an investment or action in the future, often used in cost-benefit analyses to evaluate potential projects or investments.

Non-posting Account

A non-posting account is an account used in accounting software for transactions that affect reports or balances without affecting the general ledger.

Accounting System

A systematic process of recording, measuring, and communicating financial information about economic entities.