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Under Which of the Following Conditions Would a Shareholder Be

Question 42

Multiple Choice

Under which of the following conditions would a shareholder be liable to the corporation or its creditors?


A) If he/she buys stock that was fully paid for when issued.
B) If he/she deals only with dividends and not shares.
C) If he/she is involved in "watered stock" situations.
D) If he/she was unaware of the illegality of the dividends.

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