Question

Keenan wants to incorporate his business. He buys business cards and labels with the name "Keenan’s Kwips" on them and begins selling gag gifts. Keenan follows the rules for incorporation in his state, including a statement that he is the sole shareholder, and he is granted a certificate of incorporation. The only problem is that Keenan has an error in his address on all the paperwork. Keenan’s business is probably a:

Answer 1

Answer: de jure orporation

Explanation: In simple words, de jure corporation refers to an entity that is valid and legal in the eyes of law. If a corporation is De jure then it means it has the right to issue stock, conduct business and have board of directors etc.

In the given case, Keenan follows all the rules and procedures as prescribed by the law and have a certificate of incorporation.

Hence from the above we can conclude that the Keenan business is a de jure corporation.