Institutional Investors Not Only Provide Financial Support to Companies but Exercise

question 49

True/False

Institutional investors not only provide financial support to companies but exercise some degree of corporate control over them.

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Definitions:

Coupling Ratio

in engineering, refers to the relationship between the input and output of a system, such as in transformers or gear ratios.

Fluid Couplings

A hydrodynamic device used to transmit rotating mechanical power; it has been used in automobile transmissions as a replacement for a mechanical clutch.

Torque Converter

A fluid coupling device that is used to transfer rotating power from a prime mover, like an engine, to a rotating driven load.

Vortex Flow

A flow pattern characterized by the rotation of fluid in a circular path around an axis.