Which of the Following Statements Is CORRECT

question 12

Multiple Choice

Which of the following statements is CORRECT?

• A) One disadvantage of organizing a business as a corporation rather than a partnership is that the equity investors in a corporation are exposed to unlimited liability.
• B) Using restrictive covenants in debt agreements is an effective way to reduce conflicts between stockholders and managers.
• C) Managers generally welcome hostile takeovers since the "raider" generally offers a price for the stock that is higher than the price before the takeover action started.
• D) The managers of established,stable companies sometimes attempt to get their state legislatures to ​impose rules that make it more difficult for raiders to succeed with hostile takeovers.
• E) Most business in U.S.is conducted by corporations,and corporations' popularity results primarily from their favorable tax treatment.

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Definitions:

Gender Differences

The disparities in characteristics, behaviors, roles, and psychological traits commonly associated with males and females.

Helping Behavior

Refers to voluntary actions intended to help others, with little or no benefit to oneself.

Uphold Reputation

The act of maintaining a good standing or image in the eyes of others, often through ethical behavior and performance.

Egoistic Motivation

A drive to act based on the impact of the action on one's self-interest, often disregarding others' needs or societal norms.