In Which of the Following Relationships Is a Fiduciary Duty

question 32

Multiple Choice

In which of the following relationships is a fiduciary duty owed?

• A) A principal to his agent
• B) The director of a corporation to the shareholders
• C) The director of a corporation to the corporation
• D) The officers of a corporation to the shareholders
• E) An employer to his employees

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Definitions:

Bottom-Up Budgeting

A budgeting approach where individual departments or units estimate their own expenses and revenues, which are then compiled to create an overall organizational budget.

Complex Budgeting

Complex budgeting involves the creation of an intricate financial plan that forecasts income, expenses, and capital for managing an organization's monetary resources over a specific period.

Bottom-Up Budgeting

A budgeting method where the budget is created with input from lower-level employees, leading up to a total company budget.