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Leaders and Managers in Positions of Power Pay Greater Costs

question 14

True/False

Leaders and managers in positions of power pay greater costs for unfairness and reap greater benefits for fairness.


Definitions:

Nonbinding Preincorporation Contracts

Agreements made on behalf of a corporation before it is legally formed, which typically do not hold the corporation responsible once it is established.

Personal Liability

The state of being legally responsible for the debts or actions of oneself, not shielded by corporate or other legal entities.

Incorporated

A legal status indicating that a business entity has been registered as a corporation, separating its liabilities and assets from those of its owners.

Model Business Corporation Act

A model set of laws proposed to standardize the regulation of corporate business practices across the United States.

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