Which of the Following Is True Regarding Situations in Which

question 28

Multiple Choice

Which of the following is true regarding situations in which a court may order an involuntary dissolution of a corporation?

• A) A court may order an involuntary dissolution of a corporation under the following four circumstances: when the corporation has failed to show a profit for over two years, when the corporation obtained its article of incorporation fraudulently, when the directors have abused their power, and when the corporation is insolvent.
• B) A court may order an involuntary dissolution of a corporation under the following three circumstances: when the corporation obtained its article of incorporation fraudulently, when the directors have abused their power, and when the corporation is insolvent.
• C) A court may order an involuntary dissolution of a corporation under the following three circumstances: when the corporation has failed to show a profit for over two years, when the corporation obtained its article of incorporation fraudulently, and when the directors have abused their power.
• D) A court may order an involuntary dissolution of a corporation under the following three circumstances: when the corporation has failed to show a profit for over two years, when the corporation obtained its article of incorporation fraudulently, and when the corporation is insolvent.
• E) A court may only order an involuntary dissolution of a corporation when the corporation is insolvent.

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Definitions:

International Business

Engaging in commerce and trade activities that cross national boundaries, involving different cultures and economic systems.

Localization Approach

A strategy used by businesses that adapt their products, services, and operations to meet the cultural, regulatory, and market needs of different geographic locations.

Balance Sheet Approach

A method in international human resource management that aims to equalize the standard of living between the host country and the home country of an expatriate.

Latin American Countries

Nations located in the Americas where Romance languages, primarily Spanish and Portuguese, are predominantly spoken.