An officer or director's responsibility to exercise ordinary care and prudence in discharging duties is the:
A) duty of good faith.
B) duty of diligence.
C) fiduciary duty.
D) duty of obedience.

Question

Quizplus · Accepted Answer

The duty of diligence refers to the responsibility of an officer or director to exercise ordinary care and prudence in the management of the organization, ensuring they act in a manner that a reasonably prudent person would under similar circumstances.

An Officer or Director's Responsibility to Exercise Ordinary Care and Prudence