Flashcards in Deck 34 Deck (20):
Directors voting rights:
May not vote by proxy; need a quorum and majority approval
One corporation survives the merger (A+B=A)
New corporation is formed (A+B=C)
Parent already owns 90% or more of a subsidiary
How are employees taxed under FICA?
Taxed only on earned income (gross income)
How are self-employed person taxed under FICA?
Taxed only on net income
Who pays for FICA?
Both employees and employers
Who participates in FUTA?
All employers who have quarterly payrolls of at least $1500 or who employ at least one person for 20 weeks in a year (does not include the self-employed)
Fair labor standards act
Regulates wages and hours
Set safety standards and conduct inspections
National Labor Relations Act
Bargain collectively; ex: sick pay and vacation pay
Seeks to protect retirement plans of employers that have a plan
Financial Crimes Enforcement Network (FinCEN)
Administers the BSA by issuing regulations and interpretive guidance (civil not criminal penalties)
Bank secrecy act requires reports to be filed that are above what amount?
Record keeping requirements under Bank Secrecy Act
5 years for transactions above $3,000
Monopoly power exists when a firm:
Has sufficient market power to control prices or exclude competition (Market share of 70% or more)
Rule for reason test under Sherman Act
Balance anticompetitive and competitive effects
Per Se violations under sherman act
Inherently illegal and without legal justification
Horizontal restraints under sherman act
Agreements between competitors