The _____ Doctrine Is a Doctrine Holding That Certain Legal

question 20

Multiple Choice

The _____ doctrine is a doctrine holding that certain legal consequences attach to an attempt by a corporation to carry out acts that are outside its lawful powers.

• A) promissory estoppel
• B) delectus respondeat
• C) family purpose
• D) ultra vires
• E) inter vivos

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Definitions:

Gross Margin

The difference between revenue and cost of goods sold, expressed as a percentage of revenue.

Non-Controlling Interest

The portion of equity in a subsidiary not attributable directly or indirectly to the parent company, also known as minority interest.

Voting Shares

Shares of stock that grant the holder the right to vote on corporate matters.

Cost Method

Accounting for investments where the investor does not exercise significant influence, recording the investment at initial cost and recognizing income only when dividends are received.