An Advisory Board, as Compared to a Board of Directors

question 76

Multiple Choice

An advisory board, as compared to a board of directors,

• A) may be perceived as less of a threat to an owner than a board of directors.
• B) is always compensated, unlike persons serving on a board of directors.
• C) has increased legal liability, requiring the company to increase its insurance levels.
• D) has greater levels of decision making, requiring it to work more cooperatively.

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