Back to notes
What are the primary advantages and disadvantages of a sole proprietorship?
Press to flip
Advantages include ease of formation and total control by the owner. Disadvantages consist of difficulty in raising capital and unlimited personal liability for business debts.
What defenses might an employer use to counter a claim of employment discrimination under Title VII?
Defenses can include merit-based hiring, a bona fide seniority system, or a bona fide occupational qualification (BFOQ).
What are the key differences between common and preferred stock as forms of equity securities?
Common stock generally provides voting rights and variable dividends, whereas preferred stock often has fixed dividends and no voting rights, but with higher claim on assets.
Discuss how corporate mergers differ from acquisitions.
In a merger, two companies combine to form a new entity, typically with mutual consent. In an acquisition, one company purchases another and integrates it, not necessarily always with the acquired company's approval.
Identify and explain one rule defined under the SEC Acts related to fraud prevention in security transactions.
Rule 10b-5 prohibits any act of fraud, misrepresentation, and deceit in securities transactions, playing a critical role in preventing insider trading.
What are the differences between the Age Discrimination in Employment Act (ADEA) and the Americans with Disabilities Act (ADA)?
The ADEA prohibits age-based employment discrimination against individuals age 40 and older, while the ADA prohibits discrimination based on disability and requires reasonable accommodations.
What is the Equal Employment Opportunity Commission (EEOC), and what is its primary role?
The EEOC is a federal agency that enforces laws against workplace discrimination based on various protected characteristics.
Explain the purpose of the Family and Medical Leave Act (FMLA).
FMLA allows eligible employees to take unpaid leave for specified family and medical reasons while ensuring job protection.
Outline the regulatory provisions of the SEC Acts of 1933 and 1934 that govern securities.
The SEC Acts ensure transparency by requiring registration of securities offerings and curbing fraudulent activities, with key rules including anti-fraud provisions like Rule 10b and against insider trading like Rule 10b-5.
Describe the process of corporate formation and the roles involved in its management.
Corporate formation involves creating articles of incorporation under state law. The board of directors manages the corporation, while shareholders own it.
What constitutes a hostile takeover, and how does it differ from a regular acquisition?
A hostile takeover occurs when an acquiring company attempts to take control of a target company against its wishes, while a regular acquisition involves mutual agreement.
How does the Employee Retirement Income Security Act (ERISA) relate to employee benefits?
ERISA regulates employer-sponsored retirement plans to ensure protection for individuals in the plans, setting standards for plan information and accountability.
How does a limited partnership differ from a general partnership in terms of management and liability?
In a limited partnership, general partners have management authority and unlimited liability, while limited partners have no management role and limited liability.
What are the tax implications of forming an LLC, and how does this differ from a corporation?
An LLC can choose to be taxed as a corporation or as a partnership, offering flexibility. Unlike a corporation, an LLC typically avoids double taxation.
What are the primary functions of the Occupational Safety and Health Administration (OSHA)?
OSHA is responsible for ensuring safe and healthful working conditions by setting and enforcing safety standards and providing workplace safety training.
Previous
Next