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Biz Orgs - Absher Questions and Correct
Answers/ Latest Update / Already Graded
33 Act
Ans: Regulates what is a security and how a security is offered
to investors; registration or exemption required for securities
offerings.
34 Act
Ans: Covers ongoing disclosure and governance for reporting
companies; includes annual/quarterly reports, insider trading
prohibitions, proxy regulations.
Accrual Method of Accounting
Ans: Revenue/expenses recognized when earned, not received.
Actual Authority
Ans: Explicit power given to an agent by the principal.
Administrative Dissolution
Ans: State-caused dissolution due to regulatory
noncompliance.
All rights reserved © 2025/ 2026 |
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Agent
Ans: One who acts on behalf of another; can bind principal if
acting with authority.
Apparent Authority
Ans: Reasonable belief by third parties, based on principal's
representations, that agent has authority.
Articles of Incorporation
Ans: Document filed with Secretary of State to form a
corporation; outlines structure, powers.
Articles of Organization
Ans: Filing required for Missouri LLC formation; effective upon
state's filing.
Audit Committee
Ans: Board sub-committee overseeing financial reporting and
controls.
All rights reserved © 2025/ 2026 |
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Balance Sheet
Ans: Financial statement showing assets, liabilities, equity at
specific date.
Blue Sky Laws
Ans: State-level securities laws, generally merit-based
regulation.
Business Judgment Rule
Ans: Courts defer to directors' good faith, informed business
decisions.
Bylaws
Ans: Internal rules for managing a corporation, adopted by
directors or shareholders.
Capital Account
Ans: Partner or LLC member's record of contributions,
distributions, profit/loss share.
C Corporation vs S Corporation
All rights reserved © 2025/ 2026 |
Biz Orgs - Absher Questions and Correct
Answers/ Latest Update / Already Graded
33 Act
Ans: Regulates what is a security and how a security is offered
to investors; registration or exemption required for securities
offerings.
34 Act
Ans: Covers ongoing disclosure and governance for reporting
companies; includes annual/quarterly reports, insider trading
prohibitions, proxy regulations.
Accrual Method of Accounting
Ans: Revenue/expenses recognized when earned, not received.
Actual Authority
Ans: Explicit power given to an agent by the principal.
Administrative Dissolution
Ans: State-caused dissolution due to regulatory
noncompliance.
All rights reserved © 2025/ 2026 |
, Page |2
Agent
Ans: One who acts on behalf of another; can bind principal if
acting with authority.
Apparent Authority
Ans: Reasonable belief by third parties, based on principal's
representations, that agent has authority.
Articles of Incorporation
Ans: Document filed with Secretary of State to form a
corporation; outlines structure, powers.
Articles of Organization
Ans: Filing required for Missouri LLC formation; effective upon
state's filing.
Audit Committee
Ans: Board sub-committee overseeing financial reporting and
controls.
All rights reserved © 2025/ 2026 |
, Page |3
Balance Sheet
Ans: Financial statement showing assets, liabilities, equity at
specific date.
Blue Sky Laws
Ans: State-level securities laws, generally merit-based
regulation.
Business Judgment Rule
Ans: Courts defer to directors' good faith, informed business
decisions.
Bylaws
Ans: Internal rules for managing a corporation, adopted by
directors or shareholders.
Capital Account
Ans: Partner or LLC member's record of contributions,
distributions, profit/loss share.
C Corporation vs S Corporation
All rights reserved © 2025/ 2026 |
