For the Business Judgment Rule to Apply

question 35

Multiple Choice

For the business judgment rule to apply:

• A) there must be a conflict of interest.
• B) the director must exercise extraordinary care.
• C) the director must act in the best interests of the corporation.
• D) All of the above.

---

Definitions:

Statistical Effectiveness

Describes the extent to which a particular intervention or treatment has been proven to work, based on statistical analysis.

Transmission

The act or process of transferring something from one place, person, or thing to another, often used in the context of diseases or information.

HIV

Human Immunodeficiency Virus, a virus that attacks the immune system and can lead to AIDS if not treated.

Postdecision Dissonance

In the theory of cognitive dissonance, tension that occurs when you believe you may have made a bad decision.