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Management Studies

1. Through a certain transaction, Coffee Bean Cafés, Inc., acquires all of the shares of Deli Dining Corporation for some of Coffee Bean’s shares. Both Coffee Bean and Deli Dining continue to exist. This is

a. a share exchange

b. a short-form merger

c. a purchase of assets

d. a consolidation

2. Cliff is a member of Dental Clinic, LLC. Cliff can participate in the firm’s management to

a. the extent that he assumes liability for the firm's debts

b. the extent of his investment in the firm

c. no extent

d. any extent

3. Adam is a shareholder of Bay Boats Inc. with preemptive rights. With these rights, he can

a. sell a prorated share of a new issue of stock before other sellers

b. preempt managerial decisions that affect shareholders

c. choose to have the firm act exclusively in a certain area

d. buy a prorated share of a new issue of stock before other buyers

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Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M93127747

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