Members of Management Serving on the Board of Directors of a Corporation

question 251

True/False

Members of management serving on the board of directors of a corporation are referred to as outside directors.

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Definitions:

Policy

A course or principle of action adopted or proposed by an organization or individual.

Organizational Chart

A visual representation of the structure of an organization, showing the relationships between the personnel or departments.

Power

The ability or capacity to influence or control the behavior of others or the course of events.

Informal Relationships

Connections or interactions between individuals that are not governed by formal rules, contracts, or law.