One Way in Which Control of a Corporation Can Be

question 75

Multiple Choice

One way in which control of a corporation can be removed from the current board of directors is to:

• A) take away the directors' stock.
• B) give voting power to management.
• C) remove the Board's voting power.
• D) fight a proxy contest.

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Definitions:

Marginal

Relating to the change or difference resulting from a slight incremental increase or decrease in a variable's level.

Economic Variable

A measurable quantity that represents a component of economic performance or behavior, such as GDP, unemployment rate, or inflation.

Rational Decision Makers

Individuals or organizations that make choices that maximize their utility, based on systematic analysis of options and outcomes.

Expected Marginal Benefit

The additional benefit perceived by a consumer or producer from consuming or producing one more unit of a good or service.