Catz Corporation Has Two Majority Shareholders and Five Minority Shareholders

question 66

Multiple Choice

Catz Corporation has two majority shareholders and five minority shareholders.The five minority shareholders created a voting trust in November 2011 to control Catz through the concentration of shareholder voting power in the voting trustees.Under the Model Business Corporation Act (MBCA) ,this voting trust will be valid till:

• A) September 2014.
• B) October 2021.
• C) September 2026.
• D) October 2016.

---

Definitions:

Most Efficient Output

The level of production at which a firm or economy can produce goods at the lowest average cost, maximizing the use of resources.

ATC Curve

The Average Total Cost Curve, which represents the average cost per unit of output over various levels of production, illustrating how costs change with output levels.

AVC Curve

The average variable cost curve, which plots the variable cost per unit of output at different levels of production.

Perfect Competitor's Firm

A company operating in a market where no single firm can influence price, and all firms sell identical products.