Nina Is a Director of Omega, Inc

question 61

Multiple Choice

Nina is a director of Omega, Inc. Under the standard of due care owed by di?rectors of a corporation, Nina's decisions must be

• A) ambiguous and questionable.
• B) arguable and defensible.
• C) informed and reasonable.
• D) perfect and unassailable.

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Definitions:

Target Profit

The amount of net income that a company aims to achieve within a specific time frame.

Margin of Safety Percentage

The ratio that shows how much sales can decline before a business reaches its break-even point, expressed as a percentage.

Unit Variable Cost

The cost that varies with each unit produced, including materials and labor directly associated with production.

Marketing Manager

A professional responsible for overseeing the promotion and sales strategy of products or services.