Which of the following statements is true of the corporate form of business?

Question

Quizplus · Accepted Answer

In a corporate form of business, the board of directors is responsible for setting policies and appointing officers.

Answer: B
 Changes in ownership of stock may have an impact on the control of the corporation but should not have a negative effect on its continuity.

Answer: C
 Only officers or those authorized by the board of directors can commit the corporation to a contract.

Answer: D
 It is difficult for stockholders to lodge an effective protest against management due to the dispersed ownership of shares and the limited voting power of individual shareholders.

Which of the Following Statements Is True of the Corporate