The Board of Directors Is Delegated the Power to Manage

question 60

Multiple Choice

The board of directors is delegated the power to manage the business of the corporation,which includes:

• A) determining the capital structure and financial policy of the corporation.
• B) declaring the amount and type of dividends.
• C) formulating major management policy.
• D) All of these.

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Definitions:

Debit Memorandum

A document issued to signal a decrease in accounts receivable, often due to a return or an adjustment.

Accounts Payable

Liabilities or amounts a company owes to creditors or suppliers for goods or services that have been received but not yet paid for.

Sales Discount

A reduction from the listed or invoice price offered by a seller to a buyer, often to prompt early payment or reward bulk purchases.

Decrease Net Income

Any event or transaction that results in a reduction of the net income of a company.