As ownership of the corporation is diffused, shareholders' ability to monitor managerial decisions:
A) increases.
B) decreases.
C) remains constant.
D) is eliminated.

Name: As ownership of the corporation is diffused, shareholders' ability to monitor managerial decisions: A) increases. B) decreases. C) remains constant. D) is eliminated.
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Question

Quizplus · Accepted Answer

As ownership becomes more diffused, individual shareholders have less influence and ability to monitor managerial decisions effectively.

As Ownership of the Corporation Is Diffused, Shareholders' Ability to Monitor