business 100 chapter 4 part 2

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  1. closed corporation
    a corporation whose stock is owned by relatively few people and is not sold to the general public
  2. open corporation
    a corporation whose stock can be bought and sold by any individual
  3. domestic corporation
    a corporation in the state in which it is incorporated
  4. foreign corporation
    a corporation in any state in which it does business except the one in which it is incorporated
  5. alien corporation
    a corporation chartered by a foreign government and conducting business in the united states
  6. common stock
    stock owned by individuals or firms which may vote on corporate matters but whose claims on profit and assets are subordinate to the claims of others
  7. preffered stock
    stock owned by individuals or firms who usually do not have voting rights but whose claims on dividens are paid before those of common stock owners
  8. dividend
    a distribution of earnings ti the stockholders of a corporation
  9. proxy
    a legal form listing issues to be decided at a stockholders meeting and enabling stockholders to transfer their voting rights to some other individual or individuals
  10. corporate structure
    board of directors(the top governing body of a corporation, the members of which are elected by the stockholders
  11. advantages of corporation
    limited liability, ease of raising capital, ease of transfer of ownership, perpetual life, specialized management
  12. Limited liability (advantages of corporations)
    a feature of corporate ownership that limit each owners financial liability to the amount of money that he or she has paid for the corporations stock
  13. disadvantages of corporation
    double taxation, conflict within the corporation, government regulation and increased paperwork
  14. s corporation
    a corporation that is taxed as though it were a partnership
  15. limited liability company
    a form of business ownership that combines the benifits of the restrctions and disadvantages of those forms of ownership
  16. not-for-profit corporation
    a corporation organized to provide a social, educational, religious, or other service rather than to earn a profit
  17. cooperative
    an association of individuals or firms whose purpose is to preform some business function for its members
Card Set
business 100 chapter 4 part 2
business 100 chapter 4 part 2
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