1. Why does Boatright believe that stakeholder interests are best served by stockholder management? a. Management decision making is a weaker form of protection than legally enforceable contracts or legal rules. b. Management decision making is more effective when there is a single, clearly defined objective. C. Both of the above reasons. Neither of the above reasons.
1. Why does Boatright believe that stakeholder interests are best served by stockholder management? a. Management decision making is a weaker form of protection than legally enforceable contracts or legal rules. b. Management decision making is more effective when there is a single, clearly defined objective. C. Both of the above reasons. Neither of the above reasons.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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
Transcribed Image Text:1. Why does Boatright believe that stakeholder interests are best served by
stockholder management?
a. Management decision making is a weaker form of protection than legally
enforceable contracts or legal rules.
b. Management decision making is more effective when there is a single, clearly
defined objective.
C.
Both of the above reasons.
d.
Neither of the above reasons.
2. investors cannot expect of managers (more generally, principals cannot expect of
their agents) behavior that would be inconsistent with the reasonable ethical
expectations of the community. Goodpaster labels this principle the
a. Stakeholder Analysis Principle
b. Stakeholder Synthesis Principle
c. Multi-Fiduciary Principle
d. Nemo Dat Principle
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