In a Consolidation,what Happens to the Property of the Original

question 11

Multiple Choice

In a consolidation,what happens to the property of the original corporations?

• A) It must be sold and distributed to the respective shareholders.
• B) It must be held in trust for at least one year to satisfy claims of creditors.
• C) It must be held in trust for at least six months to satisfy claims of creditors.
• D) It must be placed within the jurisdiction of the secretary of state for at least one year in order to satisfy claims of creditors.
• E) None of these.

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Definitions:

State

Refers to a politically organized body of people usually occupying a definite territory; especially, one that is sovereign.

Bait-And-Switch

A deceitful sales tactic where a customer is lured by an advertisement for a low-priced item but then is persuaded to buy a more expensive one.

Advertise

The act of promoting products, services, or brands to potential customers through various media.

Expensive Item

An object that is high in price or costs a significant amount of money, often implying it is of high quality or value.