TRUE OR FALSE ANSWER IT WITH TRUE OR FALSE THANKS 1.Retained earnings do not include accounts receivable, increase in value of fixed assets as a result of mere valuation, and borrowed funds. 2.Distribution of profit to partners of GPP is subject of CWT of 10% while dividends to given to stockholders are subject of tax as passive income. 3.The term of the Corporation shall not exceed 50 years in any one instance. 4.Declared stock dividend, however, may be revoked before the actual issuance of the stock. 5.In case of extension or reduction of corporate term, any dissenting stockholder may exercise his appraisal right 6.With respect to redeemable shares, they may be purchased by the corporation regardless of the existence of unrestricted retained earnings in the books of the corporation. 7.Banks, trust companies, insurance companies and building and loan associations shall not be permitted to issue no par value shares of stock; 8.In close corporation, the pre-emptive right of stockholders extends to all stocks to be issued, including reissuance of treasury shares, whether for money or for property or personal services, or in payment of corporate debts, unless the articles of incorporation provide otherwise. 9.Where a domestic corporation is controlled by aliens, its nationality is deemed that of the controlling stockholders thereof during wartime for reasons of national security. This is the control test in determining the nationality of a private corporation; 10. Partnership commences to acquire juridical personality from the moment of the execution of the contract of partnership, while a corporation begins to have corporate existence and juridical personality only from the date of the issuance of the certificate of incorporation by the Securities and Exchange Commission under its official seal. 11.A non-stock corporation may not include a purpose which would change or contradict its nature as such. 12. The primary purpose and the secondary or subsidiary purposes must be specified. A corporation may be organized with multiple purposes so long as the articles of incorporation states which is the primary purpose and which is / are the secondary purpose or purposes (Sec. 14 [2].); and 13. No extension can be made earlier than five (5) prior to the original or subsequent expiry date(s) unless there are justifiable reasons for an earlier extension as may be determined by the Securities and Exchange Commission. (Ibid.) 14.Where the capital stock is divided into par value shares and no par value shares, the requirements as to par value shares is as indicated above and for the no par value shares, the 25% is based on the number of said no par value shares. 15.Under special laws, there are special requirements as to capital stock with respect to various corporations, e.g., those engaged in the exploration of natural resources, or the operation of public utilities, or in domestic air commerce and/or air transportation, or coastwise shipping, banking and insurance