If Shareholders Agree in Writing to Vote in a Specified

question 36

Multiple Choice

If shareholders agree in writing to vote in a specified manner for election or removal of directors, this is known as:

• A) a proxy.
• B) cumulative voting.
• C) a voting trust.
• D) a shareholder voting agreement.

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Definitions:

Product Cost Concept

A concept used in applying the cost-plus approach to product pricing in which only the costs of manufacturing the product, termed the product cost, are included in the cost amount to which the markup is added.

Manufacturing Costs

Manufacturing costs encompass all expenses directly involved in the production of goods, including materials, labor, and overhead.

Markup

The difference between the cost of a product and its selling price, expressed as a percentage over cost.

Fixed Expenses

Regular and unchanged expenses incurred by a business irrespective of its level of output or sales volume, such as lease payments, insurance, and salaries of permanent employees.