Etta Is a Director of Trendy Stuff Corporation

question 53

Multiple Choice

Etta is a director of Trendy Stuff Corporation.Without informing Trendy,Etta goes into business with GR8 Things,Inc.,in competition with Trendy.Etta is li-able for breach of

• A)no duty or rule
• B)the business judgment rule.
• C)the duty of care.
• D)the duty of loyalty.

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Definitions:

Situational Factors

External factors, such as time and environment, that can influence a person's behavior and decisions in a particular context.

Decision-Making Processes

The cognitive and psychological mechanisms by which individuals or groups select among different options based on values and preferences.

Specific Point

A distinct and precise location or idea.

Standing Room

Areas in a venue, such as a theater or sports arena, where spectators stand to watch the event, typically at a lower cost than seated tickets.