Which of the Following Attracts the Dissent Procedure, Which Can

question 1

Multiple Choice

Which of the following attracts the dissent procedure, which can result in the corporation being forced to buy the shares of a shareholder at market value?

• A) When the directors of the corporation fail to enforce a right, duty, or obligation owed to the corporation that could be enforced by the corporation.
• B) When major changes are made, in the best interests of the corporation, that will adversely affect one group of shareholders.
• C) If the directors of a non-reporting corporation fail to allot new shares proportionately to the members.
• D) When the directors have hidden behind the corporate structure to do a wrong sufficiently serious that the courts would have "lifted the corporate veil."
• E) When the directors conduct the affairs of the corporation in a manner oppressive to one or more of the members.

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Definitions:

Consumer's Risk

The probability of accepting a batch of products that fails to meet quality standards during the sampling or inspection process, typically associated with Type II statistical errors.

Process Central Line

A line on a control chart representing the average or expected value of the process being monitored.

X-bar Chart

A type of control chart used for monitoring the mean value of a process over time.

Natural Variation

Variability that affects every production process to some degree and is to be expected; also known as common cause.