The Inkilwas Corporation has 30,000 shares outstanding. A shareholders' meeting is duly called to amend the articles of incorporation, and 17,501 shares are represented at the meeting. If an Inkilwas Corporation amendment for its articles of incorporation is put to vote at this meeting, which of the following statements would be true with respect to the passing of the amendment?

Question

Quizplus · Accepted Answer

Out of the 30,000 shares outstanding, only 17,501 are represented at the meeting. Therefore, a simple majority is required for the amendment to pass, which means at least 8,751 shares must vote in favor of the amendment. Choice A is incorrect because all outstanding shares do not have to be represented for an amendment to pass. Choice B is incorrect because a simple majority is all that is required, not unanimous approval. Choice C is incorrect because 4,376 votes would not be sufficient for a simple majority.

The Inkilwas Corporation Has 30,000 Shares Outstanding