In the late 1960s, a shareholder of the company that owned the Chicago Cubs baseball team sued the company because the directors refused to install lights in Wrigley Field. The court decided that the directors
A. had a rational purpose for not installing lights and were not liable for doing anything improper.
B. were not protected by the business judgment rule.
C. had not acted with any rational purpose and were liable to its shareholders for damages caused by their actions.
D. had the right to make decisions for the team without any concern for the desires of the shareholders.
Answer: A
You might also like to view...
Multiple R is also called the ________
A) PVS B) MR C) coefficient of determination D) standardized beta coefficient E) p value
Firms frequently sign contracts promising to pay defined amounts in the future in return for future benefits. If the firm has not received past or current benefits, but will receive the benefits in the future, accounting treats the obligation as a(n) _____ contract and typically _____
a. contingent; does recognize a liability b. executory; does not recognize a liability c. executory; does recognize a liability d. contingent; does not recognize a liability e. future; does recognize a liability
TRIPS requires every WTO member state to:
a. abide by the Berne Convention. b. abide by the Paris Convention. c. apply the national treatment principle. d. All of the above
Explain protected characteristics.
What will be an ideal response?