The Creation of Restricted Shares Allows Management or Majority Owners

question 72

True/False

The creation of restricted shares allows management or majority owners to control the corporation by concentrating voting power in the hands of a few friendly shareholders.

---

Definitions:

Rule Utilitarianism

An ethical theory that suggests the rightness or wrongness of an action should be judged by the rules that are followed, and that these rules should be chosen based on the utility or happiness they produce.

Act Deontology

A form of deontological ethics focused on the inherent morality of individual actions, regardless of their outcomes.

Rule Deontology

A moral theory that suggests actions are morally right or wrong depending on whether they follow certain rules or duties.

Cognitive Moral Development

A theory proposed by Lawrence Kohlberg that aims to explain the process by which individuals develop their ability to make ethical decisions based on moral reasoning.