A Board of Directors Is Considering Whether to Invest a Great

question 28

Multiple Choice

A board of directors is considering whether to invest a great deal of money into research and development.Such a decision could have a long-term beneficial effect for the company's future.As an alternative,the board could forego the expenditure into research and development and buy back its own shares in order to immediately increase the company's reserves.Which of the below groups would most likely favor the option to increase the company's reserves and not invest in more research and development?

• A) Management.
• B) Shareholders.
• C) Stakeholders other than the shareholders.
• D) Employees.

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Definitions:

Renewable Electricity

Electricity generated from renewable sources such as solar, wind, geothermal, hydro, and biomass that can be replenished naturally.

Water Stewardship

Practices and policies that manage fresh water resources in a sustainable, socially equitable, and environmentally friendly manner.

Circular Packaging

refers to the design and use of packaging materials that are sustainable, by being recyclable, reusable, or compostable, aiming to minimize environmental impact.

Moral Philosophy

The branch of philosophy that deals with questions of right and wrong, ethics, and moral principles guiding human conduct.