How is a corporation's board of directors formed?
A) It is appointed by the company executive.
B) It is elected by the shareholders.
C) It is selected by the agency that chartered the corporation.
D) It is appointed by the Toronto Stock Exchange.

Question

Quizplus · Accepted Answer

The board of directors of a corporation is typically elected by the shareholders, who have the power to vote in board members at annual meetings. The process for electing board members can vary depending on the corporation and its bylaws, but it is generally a democratic process that allows shareholders to have a voice in the management of the company.

How Is a Corporation's Board of Directors Formed