Which of the following is the effect of the business judgment rule regarding the liability of officers and directors?
A) Courts will not substitute their judgment for that of the board or an officer acting in good faith with due care.
B) Officers and directors will never have liability for their decisions relating to the corporation.
C) Officers and directors may have liability for bad faith decisions, but cannot be liable for failure to act.
D) Directors and officers will not be held liable for conduct that is only negligent.
A
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Cimarron Saddlery expects to improve profitability of the organization by 15% over the next three years. This is an example of a(n)
A. supervision objective. B. operational goal. C. tactical goal. D. maintenance objective. E. strategic goal.
Carter is the Web designer for an open source project. He has created a program that facilitates the easy collation of data for a large-scale logistics firm. Which of the following is TRUE of the source code for Carter's program?
A. It is available to the public. B. It is highly protected and obtained only by having a license. C. It is available only to carefully vetted contractors. D. It is less stable and platform dependent. E. It cannot be compiled.
The change in net working capital when evaluating a capital budgeting decision is ________
A) the change in fixed liabilities minus the change in fixed assets B) the increase in current assets C) the increase in current liabilities D) the change in current assets minus the change in current liabilities
ABC, Inc., is a small clothing manufacturer that produces shirts and pants using two resources: sewing machine hours and cutting machine hours. The production manager can schedule up to 240 hours of sewing machine time and up to 150 hour cutting machine time. Production of one shirt requires 3 hours of sewing time and 1 hour of cutting time. Each pair of pants requires 2 hours of sewing time and 1.5 hours of cutting time. Each shirt yields a profit of $5, and each pair of pants generates a $6 profit. The objective is to maximize profits. Determine the nonnegative constraint for the LP formulation. Let X1 = Number of shirts to be produced, X2 = Number of pairs of pants to be produced.
a. X1 and X2 > 0 b. X1 and X2 ? 0 c. X1 and X2 ? 0 d. X1 and X2 = 0