Empirical evidence indicates that for distressed firms, higher pre-distress leverage increases the probability of operational actions (e.g., asset restructuring and employee layoffs) and financial actions (e.g., dividend cuts)
This evidence is consistent with the:
a. disciplinary role of debt.
b. wasteful cuts hypothesis.
c. managerial discretion hypothesis.
d. leverage aggressiveness hypothesis.
A
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Limited liability of shareholders is one of the advantages of incorporation. Generally, a shareholder is personally liable
A. For torts of the corporation although (s)he did not participate in them. B. For crimes of the corporation although (s)he did not participate in them. C. Only for his or her investment in the corporation. D. For the corporation's debts.
If you have questions about copyrights, service marks, trademarks, or patents, you should contact _________________
a. the U.S. Patent Office b. an intellectual property attorney c. the World Intellectual Property Organization d. your company's technical writer