To be a tipper or a tipee one must bea.a provider of services to the corporation acquires information becauseof the services provided.b.

1.To be a tipper or a tipee one must bea.a provider of services to the corporation acquires information becauseof the services provided.b.an officer, director or shareholder of a corporation.c.a corporate “whistle blower”.d.someone who acquires inside corporate information as the result of abreach of fiduciary duty.2.Large Financial Corporation merges with Small Bank Corporation, with Largeabsorbing Small. After the mergera. a different, new entity is the surviving corporation.b. Large and Small are both surviving corporations.c. Large is the surviving corporation.d. Small is the surviving corporation.3.Absent an election by the limited liability company to the contrary, the InternalRevenue Service will automatically income tax a 2 or more member limited liability companyasa.b.c.d.a corporation.a C corporation.an S corporation.a partnership.4.Jack purchases a $100,000 face amount whole life policy on his life. He nameshis wife as beneficiary. The next year Jack sells his policy to his very good friend, Jill. Jillchanges the policy beneficiary designation to herself. When Jack diesa.Jill will not be able to collect the $100,000 because she did not have aninsurable interest in Jack’s life.b.Jack’s wife will collect the $100,000 because the beneficiary designationchange was ineffective.,c.Jill can collect the $100,000 policy proceeds.d.Jack’s wife can successfully sue the life insurance company to collectthe $100,000 already paid to Jill.5.Mammoth Lift Corporation purchases all of the assets of Heavy HydraulicsCorporation. With respect to Heavy’s liabilities, Mammoth isa. automatically responsible.b. not responsible under any circumstances.c. responsible if Heavy is a competitor of Mammoth.d. responsible if the sale is actually a merger or consolidation.6.For shareholders to act effectively during a corporate annual meeting aquorum must be present(either in person or by proxy). A quorum exists, under the law ofmost states, when shareholders holding more than_________________ of the outstandingshares are present.a.b.c.d.33 1/3%.25%.50%.20%.7.Fixed Games, Inc. wishes to acquire a controlling interest in Joy Toy ,Inc. by buyingJoy’s stock. A public offer by Fixed to Joy’s shareholders isa. a buyout notice.b. a golden parachute.c. an acquisition call.d. a tender offer.8.Memorable Bookstore, Inc. files a registration statement and delivers a prospectus to theappropriate parties. The prospectus is intended to enable the evaluation of certain financial risks bya.market professional to explain to all investors.b.government regulators to disclose to the general public.c.sophisticated investors only.d.unsophisticated investors.9.These days the ultra vires principle is of lesser importance regarding for profitcorporations becausea.b.most states have by statute repealed the principle.the study of Latin has greatly declined.c.d.board members.most for profit corporations can be organized for any legal purpose.corporate shareholders can, by majority vote, ratify any action taken by10.Choose & Lose, Inc. is a public company ready to issue securities that do not qualify foran exemption from registration. This means that Choose & Lose musta. file a registration statement with the SEC.b. issue the securities through an online registration side.c. refrain from issuing the securities to unregistered investors.d. register the securities with a national stock exchange.11.Long Key, Inc. is ready to issue securities in a transaction that, under the Securities Actof 1933, is “exempt.” This allows Long toa.avoid the costs and complications of registration.b.buy and sell the securities without any liability for “recaptures”.c.make financial forecasts without liability.d.withhold inside information from accredited investors.