Which of the Following Is an Incorrect Statement About Directors

question 49

Multiple Choice

Which of the following is an incorrect statement about directors?

• A) Their eligibility requirements may be found in the bylaws.
• B) Bylaws may require that directors be shareholders in the corporation.
• C) The board of directors has authority to manage the corporation.
• D) Courts will interfere with the board's discretion when they disagree with its actions.

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Definitions:

Psychological Disorders

Mental processes and/or behavior patterns that cause emotional distress and/or substantial impairment in functioning.

Natural Tendency

An innate or inherent inclination or predisposition towards a particular behavior, action, or thought pattern.

Person-Centered Therapy

A nondirective, humanistic therapy developed by Carl Rogers, in which the therapist creates an accepting climate and shows empathy, freeing clients to be themselves and releasing their natural tendency toward self-actualization.

Insight

The sudden realization of the relationship between elements in a problem situation, which makes the solution apparent.