Asked by Meredith Murphy on Jun 09, 2024
Verified
"In modern business practice, the shareholders of a corporation own that corporation." Explain the accuracy of this statement.
Modern Business Practice
Contemporary methods, strategies, and approaches adopted by businesses to operate efficiently and competitively.
- Acquire knowledge about the idea that a corporation operates as an autonomous legal entity and its effects on shareholders and directors.
Verified Answer
KD
Kortese Delaney
Jun 12, 2024
Final Answer :
A corporation is a separate legal person. Shareholders have certain rights in relationship to the corporation to control it and have a claim against the assets upon dissolution. In a practical sense, however, this usage is correct.
Learning Objectives
- Acquire knowledge about the idea that a corporation operates as an autonomous legal entity and its effects on shareholders and directors.
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