Which of the following is correct regarding the business judgment rule?

A) Directors and officers are not liable for honest mistakes of judgment.
B) Directors and officers have an obligation to exercise sound business judgment, and any
failure to do so results in a rebuttable presumption of negligence.
C) Directors and officers are never liable in suits filed against them by shareholders.
D) Directors and officers are liable for gross negligence, but not for ordinary negligence.
E) Directors and officers have an obligation to exercise sound business judgment, and any
failure to do so is per se negligence that results in liability to the corporation.

A