In Order to Prevent a Defective Corporation from Escaping Corporate

question 13

Multiple Choice

In order to prevent a defective corporation from escaping corporate responsibility a court may hold that that the entity is a[n] _______________.

• A) Corporation in fact
• B) Unrealized corporation
• C) Corporation by estoppel
• D) Corporation by reservation
• E) Partnership liability

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Definitions:

ROI

Return on Investment is a measure used to evaluate the efficiency or profitability of an investment, calculated by dividing net profit by the cost of the investment.

Operating Assets

Assets used by a business in its daily operations to generate income, including cash, inventory, and equipment.

Fixed Costs

Refers to costs that do not change in total regardless of the level of production or sales activity, like rent, salaries, and insurance.

Balanced Scorecard

A strategic planning and management system used to align business activities with the vision and strategy of the organization, improve internal and external communications, and monitor organizational performance against strategic goals.