Question

A consolidation of two corporations usually requires all of the following except Approval by the board of directors of each corporation. Provision for an appraisal buyout of dissenting shareholders. An affirmative vote by the holders of a majority of each corporation’s voting shares. Receipt of voting stock by all shareholders of the original corporations.

Answer 1

Receipt of voting stock by all shareholders of the original corporations.

Step-by-step explanation:

A consolidation is when two or more companies come together to form a new legal entity.

For example, Company A + Company B = Company C

Company A and Company B ceases to exist.

For consolidation to take place, the following has to occur :

1. Approval by the board of directors of each corporation.

2. Provision for an appraisal buyout of dissenting shareholders.

3. An affirmative vote by the holders of a majority of each corporation’s voting shares.

Dissenting shareholders do not receive voting stocks.

I hope my answer helps you.