An LLC may be managed directly by its owners.

a. True

b. False

Under recent statutes, the articles of incorporation must contain all of the following except the: ______.

a. name of the corporation.

b. name and address of each incorporator.

c. purpose for which the corporation is organized.

d. number of shares the corporation is authorized to issue.

A third person who deals with a person claiming to be an agent: ______.

a. can rely on the statements made by the agent regarding the extent of the authority.

b. cannot ignore any knowledge regarding a limitation of the agents authority.

c. is not required to take notice of any acts clearly adverse to the interest of the principal.

d. is bound by the agents secret limitations, regardless of the third persons knowledge.

The principal forms of business organization are: ______.

a. sole proprietorships, joint ventures, and corporations.

b. unincorporated associations, partnerships, and corporations.

c. unincorporated associations, limited partnerships, and corporations.

d. sole proprietorships, partnerships, and corporations.

The term apparent authority is used when there is: ______.

a. no interaction between the principal and third persons.

b. actual authority.

c. only the appearance of authority and that appearance of authority was created by the principal.

d. only the appearance of authority and that appearance of authority was created by the agent.