Give an account of the directors' and corporate officers' duty of care toward the corporation
What will be an ideal response?
The directors and officers of a corporation owe certain fiduciary duties when making decisions and taking action on behalf of the corporation. One such duty is the duty of care. The duty of care requires corporate directors and officers to use care and diligence when acting on behalf of the corporation. To meet this duty of care, the directors and officers must discharge their duties 1. in good faith, 2. with the care that an ordinary prudent person in a like position would use under similar circumstances, and 3 . in a manner they reasonably believe to be in the best interests of the corporation. A director or an officer who breaches the duty of care is personally liable to the corporation and its shareholders for any damages caused by the breach.
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Indicate whether the statement is true or false
LTD, Inc. plans to initiate a 5-for-1 stock split. LTD's stock currently sells for $180 per share. What will be the per share price of the stock immediately following the split?
A. $36.00 B. $900.00 C. $72.00 D. $27.78 E. $12.96
Which of the following statements is (are) true concerning settlement options?
I. A straight life annuity provides the lowest amount of periodic income of all the life income options. II. Fixed-period and fixed-amount are life income options. A) I only B) II only C) both I and II D) neither I nor II
If a person purchasing an instrument does not know and has no reason to know that it has been dishonored, the person cannot become an HDC.
Answer the following statement true (T) or false (F)