Asked by Becky Tseng on Jul 17, 2024
Verified
When dissolution takes place by voluntary action, the members of the board of directors act as trustees of the corporate assets.
Voluntary Action
An act undertaken by choice or free will, often implying a decision made without external coercion.
Board of Directors
A group of individuals elected by shareholders to oversee and make major decisions for a corporation.
- Understand the processes and stakeholders engaged in voluntary termination.
Verified Answer
VB
Virgil BurnsJul 20, 2024
Final Answer :
True
Explanation :
When a corporation undergoes voluntary dissolution, the members of the board of directors often act as trustees of the corporate assets, overseeing their distribution according to the corporation's dissolution plan and applicable laws.
Learning Objectives
- Understand the processes and stakeholders engaged in voluntary termination.
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