QUESTION 55

Note:This question may have more than one correct answer.

When will a court pierce the corporate veil?

a.

When there may have been a defect in the incorporation process.

b.

When the domination of the corporation results in an improper purpose

c.

When there is domination of the corporation by one or more of its shareholders

d.

Whenever there a single-shareholder-owned or closely held corporation which did not file an annual statement with the Secretary of State.

QUESTION 62

Note:This question may have more than one correct answer.

Which of the following statements are True about the Securities Exchange Act of1934?

a.

Rule 10b-5 of the Securities And Exchange Act of 1934 applies to securities that do not have to be registered.

b.

It requires periodic disclosures from issuers of securities.

c.

It regulates short-swing profits in order to stop speculative insider trading.

d.

It is a blue-sky law.

QUESTION 76

The secretary of state where a corporation is formed can always challenge the validity of a corporation's status using aquo warrantolegal theory, even if itsdejureorde factostatus cannot be used against the corporation by third parties.

True

False