A Cost That Will Not Be Affected by Later Decisions

question 165

True/False

A cost that will not be affected by later decisions is termed an opportunity cost.

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Definitions:

Stock Decreases

A decrease in the market price of a company's shares.

Cumulative Voting

Cumulative voting is a method used in corporate elections, allowing shareholders to allocate their votes in any manner they choose among the candidates, offering minority shareholders a better chance of representation.

Minority Shareholders

Shareholders who own less than 50% of a company's shares and therefore, have less influence over decision making.

Board Of Directors

A group of individuals elected by shareholders to oversee the management and make strategic decisions for a corporation.