Small Proprietary Companies Are Relieved of Many of the Reporting

question 44

Multiple Choice

Small proprietary companies are relieved of many of the reporting requirements to which public companies are subject. A company is deemed to be 'small' if it satisfies two of three specified criteria. Which of the following is not one of the criteria?

• A)It has consolidated gross profits of less than $30 million.
• B)Its consolidated gross assets at the end of the financial year are less than $12.5 million.
• C)It employs fewer than 50 employees at the end of the financial year.
• D)It has consolidated gross operating revenue of less than $25 million

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Definitions:

Nominal Damages

A small sum awarded by a court when a legal wrong has occurred, but where there was no substantial loss or injury to be compensated.

Reformation

A legal process that amends or corrects the terms of a contract to reflect the true intentions of the parties involved.

Specific Performance

A legal remedy requiring a party to execute a contract according to its precise terms, typically applied in real estate transactions or unique goods.

Rare Stamps

Postage stamps that are considered valuable due to their limited availability, historical significance, errors in printing, or unique features.