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Board Members Act in the Best Interests of the Firm

Question 24

Multiple Choice

Board members act in the best interests of the firm:


A) because they are legally required to do so.
B) when they do not own stock in the firm.
C) when they take an extremely cautious approach to ratifying decisions.
D) because they wish to maintain a good reputation in order to be offered other board positions.

Correct Answer:

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