Discuss what happens to a corporation after dissolution and what protection is afforded creditors of the corporation
Dissolution requires that the corporation devote itself to winding up its affairs and liquidating its assets. After dissolution, the corporation must cease carrying on its business except as is necessary to wind up. When a corporation is dissolved, its assets are liquidated and used first to pay the expenses of liquidation and its creditors according to their respective contract or lien rights. Any remainder is proportionately distributed to shareholders according to their respective contract rights. Statutory provisions governing dissolution and liquidation usually include the following safeguards to the interests of the corporation's creditors: mailing of notice to known creditors, general publication of notice, and preservation of claims against the corporation.
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Every accounting transaction affects both the balance sheet and the income statement
a. True b. False Indicate whether the statement is true or false
Under the Uniform Commercial Code (UCC), which of the following remedies is available to both buyers and sellers?
A. Recovering profit from the resale of nonconforming goods by the other party B. Damages in the amount of the difference between the contract price and the market price of goods C. Recovering the total value of goods in the contract D. Obtaining specific performance of the contract
Limitations of e-mail surveys include all of the following except ________
A) Questionnaires cannot utilize programmed skip patterns, logic checks, or randomization B) Skipping instructions (e.g., "If the answer to question 5 is yes, go to question 9") must appear explicitly, just as on paper C) There is inherent self-selection bias D) Some e-mail software products limit the length of the body of an e-mail message
The means by which the accounting system collects, summarizes, and reports accounting information is called
A) Reporting methods B) Accounting methods C) Control methods D) Processing methods