In Order to Minimize the Temptation for Managers to Act

question 61

Multiple Choice

In order to minimize the temptation for managers to act in their own self-interest,governance mechanisms exist for implementation consideration.Which of the following is not a primary means for monitoring managerial behavior?

• A) a board of directors that acts in the best interests of shareholders to create short-term value
• B) shareholder activism in which owners view themselves as shareowners
• C) a board of directors that acts in the best interests of shareholders to create long-term value
• D) managerial incentives to align management interests with those of the stockholders

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Definitions:

Target Tissues

Specific tissues or cells within an organism that are affected by specific hormones, drugs, or other agents.

Autocrine Chemical Messengers

Signaling molecules secreted by cells that bind to receptors on the same cell, leading to a response.

Paracrine Chemical Messengers

Substances released by cells that affect other nearby cells, allowing for local cell communication.

Placental LH-like Hormone

A hormone produced by the placenta that is structurally similar to luteinizing hormone (LH) and supports the corpus luteum, maintaining the production of progesterone during early pregnancy.