The Bylaws of a Corporation

question 10

Multiple Choice

The bylaws of a corporation:

• A)usually set up procedures for the holding of shares.
• B)do not involve financial matters such as declaring and paying dividends.
• C)establish rules for the conduct of internal affairs.
• D)need not be consistent with state laws or the articles of incorporation.

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Definitions:

Expenses Paid

Funds that have been disbursed to cover the costs incurred by a business or individual.

Payment of Liability

The process of discharging obligations or debts by transferring assets, typically cash, to the creditor or lender.

Purchase of Asset

The act of acquiring a tangible or intangible resource that is expected to provide benefits to a business over multiple periods.

Total Liabilities

The sum of all financial obligations or debts owed by a company to external entities or individuals.