For a corporate funeral firm, how must the manager be designated?

For a corporate funeral firm, how must the manager be designated?

• A. The manager's name and title signed by the board chair
• B. A notarized letter from the stockholders
• C. A certified copy of the board of directors' resolution appointing such manager
• D. An independent audit confirming qualifications

Answer: (C)

In a corporation, the person in charge must be chosen by formal corporate action. The official way to designate a manager is for the board of directors to approve the appointment and issue a resolution. A certified copy of that board resolution showing the appointment provides clear, legally recognized documentary evidence that the board authorized who will be in charge, and it becomes part of the corporate records. This is the proper mechanism regulators look for to confirm the firm has a designated in-charge person with the board’s authority. Why the other options don’t fit: a signature by the board chair alone doesn’t prove that the whole board approved the appointment. A notarized letter from stockholders doesn’t demonstrate board authorization. An independent audit confirms financial or operational details, not the formal act of appointing the manager or the authority behind that appointment.

In a corporation, the person in charge must be chosen by formal corporate action. The official way to designate a manager is for the board of directors to approve the appointment and issue a resolution. A certified copy of that board resolution showing the appointment provides clear, legally recognized documentary evidence that the board authorized who will be in charge, and it becomes part of the corporate records. This is the proper mechanism regulators look for to confirm the firm has a designated in-charge person with the board’s authority.

Why the other options don’t fit: a signature by the board chair alone doesn’t prove that the whole board approved the appointment. A notarized letter from stockholders doesn’t demonstrate board authorization. An independent audit confirms financial or operational details, not the formal act of appointing the manager or the authority behind that appointment.