38.

 I. The power to remove directors or trustees belongs to the officers exclusively. II. Removal of
directors or trustees may be with or without cause.
a. Only I is true;
b. Only II is true;
c. Both are true; 
d. Both are false.

39. The following are the qualifications of a board of director/trustee, except:

a. For a stock corporation, ownership of at least 1 share of the capital stock of the corporation in his
own name. For a non-stock corporation, only members of the corporation can be elected;
b. Majority of the board of directors or trustees must be citizens of the Philippines; 
c. he director or trustee must be capacitated;
d. The director or trustee must be of legal age.

40. The exclusive right to vote and be voted for in the election of directors, if granted, it must be for
a limited period which is:
a. Period not to exceed 5 years from the date of corporation; 
b. Period not to exceed 5 years from the date of incorporation;
c. Period not to exceed 3 years from the date of corporation;
d. Period not to exceed 3 years from the date of incorporation.

41.  I. Any director or trustee of a corporation shall be removed from office only with cause; II. Any
director or trustee of a corporation may be removed from office without cause.
a. Only I is correct;
b. Only II is correct;
c. Both are true;
d. Both are false.

42. Vacancies in the board of directors due to disqualification may be filled by:
a. Stockholders if there is a quorum;
b. Remaining directors if there is no quorum,
c. Remaining directors if there is a quorum;
d. Both the remaining directors and stockholders should vote regardless whether constituting a
quorum.

43. It is one where persons, by words spoken or written or by conduct represent themselves, or
consents to another representing them to anyone, as partners in an existing partnership or with one
or more persons not actual partners.
a. Partnership by estoppel; 
b. Partnership by prescription;
c. Closed partnership;
d. Partnership sole.