If the Board Delegates to a Committee Its Duty to Select

question 79

Multiple Choice

If the board delegates to a committee its duty to select a new company president:

• A) the members of that committee may be responsible individuals other than board members.
• B) the committee must be approved by the shareholders.
• C) the non-committee directors are relieved of liability for acts of the committee.
• D) the committee must consist of board members.

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Definitions:

Learning Curves

The premise that people and organizations get better at their tasks as the tasks are repeated; sometimes called experience curves.

Experience Curves

Graphical representations similar to learning curves, but focusing on how costs decline as a company gains experience in production over time.

Learning Curves

Demonstrates the rate of improvement in performing a task as a function of time or experience, emphasizing the decrease in labor time and cost with increased efficiency.

Learning Curve

The graphical representation of how an individual's or organization's performance improves over time with experience.