An offer to purchase capital stock in a corporation yet to be formed is made by a(n):
A) promoter.
B) subscriber.
C) incorporator.
D) subsidiary.

Question

Quizplus · Accepted Answer

An offer to purchase capital stock in a corporation yet to be formed is made by a subscriber. Promoters are individuals or entities who organize and promote the formation of a corporation. Incorporators are responsible for filing the necessary paperwork to legally form a corporation. A subsidiary is a company that is controlled by another company, and therefore would not make an offer to purchase capital stock in a corporation.

An Offer to Purchase Capital Stock in a Corporation Yet