Law 2

EASY QUESTIONS

1. The change in the relation of the partners caused by any partner ceasing
to be associated in the carrying on of the business.
a. Termination c. Winding up
b. Dissolution d. Cessation

2. An artificial being created by operation of law, having the right to

succession and the powers, attributes and properties expressly authorized by
law or incident to its existence.
a. Private corporation c. Partnership
b. Single proprietorship d. Corporation

3. A share which has been lawfully issued by the corporation and fully paid
for and later reacquired by either purchase, redemption, donation, forfeiture
or other lawful means.
a. Treasury shares c. Founders shares
b. Redeemable shares d. Preferred shares

4. These are dividends which are actually distribution of the assets of the
corporation upon dissolution or winding up of the same.
a. Property dividends c. Liquidating dividends
b. Optional dividends d. Preferred dividends

5. A contract wherein there are two or more persons bind themselves to

contribute money, property, or industry to a common fund, with the intention
of dividing the profits among themselves.
a. Limited Partnership c. Single Proprietorship
b. Partnership d. Close Corporation

AVERAGE QUESTIONS