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Five friends, Adam, Bob, Carlos, Dan and Eric, start a business in Milwaukee whi

ID: 425641 • Letter: F

Question

Five friends, Adam, Bob, Carlos, Dan and Eric, start a business in Milwaukee which is properly set up as a regular Wisconsin corporation. Each of the five owns 20% of the shares in the corporation. Adam, Bob and Carlos are the directors of the corporation. Adam is the CEO and Bob is the CFO of the corporation. Dan and Eric are just passive investors with other jobs elsewhere.

QUESTIONS: Signing a contract on A. Adam acting alone- behalf of the corporation. 2. company that competes with the corporation.C Carlos acting alone Bob acting alonev Starting a new Changing one of the Dan acting alone company's directors from Carlos to an outside director E. Eric acting alone Changing the CFO F.Adam, Bob, Carlos, Dan and Eric from Bob to Carlos. acting collectively at a meeting of the corporation's shareholders Deciding whether.or G. not the corporation should pay dividends to shareholders. Adam, Bob and Carlos acting collectively at a meeting of the corporation's Board of Directorsv

Explanation / Answer

1. B. Bob acting alone

2. None/NA

3. G. Adam, Bob and Carlos acting collectively at a meeting of the corporation’s Board of Directors.

4. A. Adam acting alone

5. F. Adam, Bob, Carlos, Dan and Eric acting collectively at a meeting of the corporation’s shareholders.