Which of the Following Is False Regarding Corporate Decisions That

question 65

Multiple Choice

Which of the following is false regarding corporate decisions that might personally benefit a particular director or officer?

• A) There must be full disclosure of the interest by a director who might personally benefit from a corporate decision.
• B) There must be full disclosure of the interest by an officer who might personally benefit from a corporate decision.
• C) The director to benefit may vote on the issue although a majority of all directors must approve the transaction.
• D) The duty to disclose an interest that might personally benefit a director is a fiduciary duty.
• E) The duty to disclose an interest that might personally benefit an officer is a fiduciary duty.

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Definitions:

Politics

The activities associated with the governance of a country or area, especially the debate or conflict among individuals or parties hoping to achieve power.

Power Resources

Various assets or means available to individuals, groups, or nations that provide them with influence and the ability to affect change.

Policy Preferences

Policy preferences are the specific inclinations or desires regarding governmental actions or strategies, reflecting an individual's or group's values, beliefs, or interests.

Process Power

The influence that individuals or groups can exert through their understanding and manipulation of procedural aspects within a system.