Boards have the power to direct the affairs of the organization, punish and reward managers, and protect shareholders's rights and interests.

Question

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Boards of directors are responsible for overseeing the management of the organization, and they have the power to direct its affairs, make major strategic decisions, and ensure that shareholders' rights and interests are protected. They are also responsible for appointing and compensating senior executives, as well as holding them accountable for their performance. Therefore, they have the power to reward or punish managers and make important business decisions that can impact the organization's long-term success.

Boards Have the Power to Direct the Affairs of the Organization