In the United States
A) boards of directors are legally responsible for representing the interests of the shareholders.
B) due to the diffused ownership structure of the public company, management often gets to choose board members who are likely to be friendly to management.
C) there is a correlation between underperforming firms and boards of directors who are not fully independent.
D) all of the above are true, in the United States.
Correct Answer:
Verified
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Q44: Debt can reduce agency costs between shareholders
Q45: The board of directors may grant stock
Q46: In the United States, it is not
Q47: While debt can reduce agency costs between
Q49: The board of directors may grant stock
Q50: Concentrated ownership of a public company
A)can be
Q52: Suppose you are the CEO of company
Q55: Concentrated ownership of a public company
A)is normal
Q88: Companies domiciled in countries with weak investor
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