An Extremely Lucrative Severance Package That Is Guaranteed to a Firm's

question 11

Multiple Choice

An extremely lucrative severance package that is guaranteed to a firm's senior managers in the event that the firm is taken over and the managers are let go is called a:

• A)golden parachute.
• B)white knight.
• C)poison pill.
• D)classified board.

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Definitions:

Organizational Meeting

The initial meeting held by the incorporators or directors of a new corporation to complete the formation of the corporation and to establish its internal affairs.

Incorporation Process

The series of steps required to legally create a corporation, including the filing of articles of incorporation with the relevant state authority and compliance with regulatory requirements.

Charter Issued

The granting of legal authorization or a set of rights and privileges from a government or authority to create and operate an organization.

Incorporator

An individual or entity that establishes and files the legal documentation required to form and register a corporation.