With respect to the number of shares for each class that can be issued,which of the following is required to be set out in the incorporation documents?

Question

Quizplus · Accepted Answer

The incorporation documents must specify the maximum number or designation of unlimited for each class of shares that can be issued, but they do not need to specify a minimum or unlimited number of shares for each class. The option of unlimited number and type of classes of shares is not required to be set out and a limited number of shares for each class may not provide enough flexibility for the company's future financing needs. Therefore, the best choice is B.

With Respect to the Number of Shares for Each Class