Reference no: EM132940035

Problem 1: Which of the following is not allowed as consideration for issuance of shares?

A. Future indebtedness by the corporation.
B. Labor already performed for or services actually rendered to the corporation.
C. Tangible or intangible properties actually received by the corporation.
D. Shares of stock in another corporation.

Problem 2: Who are required to have residency in the Philippines? I. Incorporators; II. Directors; III. President; IV. Corporate Secretary; V. Treasurer.

A. I, II and III only
B. IV and V only
C. III, IV and V only
D. I, II, III, IV, and V

Problem 3: Per International Accounting Standards (IAS) No. 38, Organization Expense are recognized as

A. an expense when incurred.
B. an intangible asset when incurred and amortized over 5-year period.
C. an asset when the corporation suffers losses during its initial operation and may be amortized during profitable years.
D. an intangible asset when incurred and amortized over 50-year period.