An anti-takeover measure that is inserted in the corporate charter stating that 80% of the stock shares must approve the takeover proposal is a(n):
A)Golden parachute
B)Supermajority voting rules
C)Poison puts
D)Standstill agreement

Question

Quizplus · Accepted Answer

Supermajority voting rules require a higher percentage of stock shares to approve a takeover proposal, making it more difficult for an acquirer to gain control of the company. In this case, the requirement of 80% of stock shares to approve the takeover proposal is an example of supermajority voting rules. The other options - golden parachute, poison puts, and standstill agreement - are different types of anti-takeover measures but do not fit the description given in the question.

An Anti-Takeover Measure That Is Inserted in the Corporate Charter