What type of corporation issues stock that is held by only a few people and not available to the public?
A) Limited liability
B) Subchapter S
C) Public
D) Closely held
E) Professional
Answer: D
Explanation: D) A closely held, or private, corporation has stock owned only by a few people and not available to the public. Most smaller corporations fit this profile.
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The _____ Act mandates that most new rules cannot go into effect until 60 days after they have been sent to Congress for analysis.
A. Congressional Review B. Administrative Procedure C. Congressional Accountability D. Apportionment
Mrs. Smith held a life estate in a single-family residence. The estate was based upon her own life. She leased the residence to Mr. Jones for a five-year period, but died a few weeks after the lease began. The lease was:
A: Invalid on its face, because the holder of a life estate does not have the right to lease the property; B: Valid for the remaining term of the lease; C: Valid only during the life of the lessor; D: Valid only if Mr. Jones was unaware of the life estate when the lease was created.