Under Which of the Following Conditions Would a Shareholder Be

question 48

Multiple Choice

Under which of the following conditions would a shareholder be liable to the corporation or its creditors?

• A)If he/she buys stock that was fully paid for when issued.
• B)If he/she deals only with dividends and not shares.
• C)If he/she is involved in "watered stock" situations.
• D)If he/she was unaware of the illegality of the dividends.

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