In Many Corporations, There Is "Separation of Ownership from Control

question 127

Multiple Choice

In many corporations, there is "separation of ownership from control." What does this mean?

• A)The shareholders control the corporation, although the board of directors owns the corporation.
• B)The managers of the corporation run the corporation, although the shareholders own the corporation.
• C)The board of directors controls corporate operations, although the managers of the corporation own the corporation.
• D)Top corporate managers only make decisions that have been approved unanimously by shareholders.

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Definitions:

Responsibility

The obligation to carry out duties or tasks assigned to one's role or position, often with an ethical component.

Internal Announcement

A communication distributed within an organization, typically concerning policy changes, staff updates, or other internal matters.

Buffer

A neutral or soft opening statement in communication intended to reduce potential negative reaction to the message that follows.

Verbal Abuse

A form of abusive behavior involving the use of language to harm another person emotionally or psychologically.