17 Questions
What is the governing body in a nonstock corporation?
Board of Trustees
What is the minimum authorized capital stock requirement for stock corporations incorporated under the Revised Corporation Code (RCC)?
There is no minimum authorized capital stock requirement, except as otherwise specifically provided by special laws.
What is the difference between authorized capital stock and subscribed capital stock?
Authorized capital stock is the amount fixed in the articles of incorporation to be subscribed and paid by the stockholders, while subscribed capital stock is the portion of the authorized capital stock that is covered by subscription agreements.
What is the difference between paid-up capital and outstanding capital stock?
Paid-up capital is the total amount of capital that has been paid by shareholders, while outstanding capital stock is the total number of shares that have been issued and are currently held by shareholders, excluding treasury shares.
Which of the following is not a type of capital stock mentioned in the text?
Cooperative capital stock
When does a corporation commence to have juridical personality?
On the issuance of its certificate of incorporation
What is the purpose of the Board of Trustees in a nonstock corporation?
To exercise the powers of the corporation.
What type of corporation has capital stock divided into shares?
Stock Corporation
Which type of corporation does not allow any part of its income to be distributed as dividends?
Non-stock Corporation
In which type of corporation are stockholders or members not liable for the corporation's obligations?
Stock Corporation
What is the main difference between a domestic and a foreign corporation?
Place of incorporation
What is the primary distinction between a public corporation and a non-stock corporation?
Purpose of existence
What power allows a corporation to revive its corporate existence?
Power to amend the articles of incorporation
Which power enables a corporation to sell or dispose of all or substantially all of its corporate assets?
Power to extend or shorten corporate term
What power allows a corporation to invest its funds in another corporation or business?
Power to invest corporate funds in another corporation, business, or for any other purpose
What power permits a corporation to declare dividends?
Power to amend the articles of incorporation
Which power allows a corporation to increase its capital stock?
Power to extend or shorten corporate term
Test your knowledge on the differences between corporation and partnership liabilities. Learn about the distinct legal structures and responsibilities of stockholders, members, and general partners. Explore the commencement of juridical personality for corporations and partnerships.
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