If a company were to have only insider directors and related outsider directors, which would leave out the independence of outsider directors, what could the consequences be?
a. A more streamlined decision-making process from insider directors who know the company and industry intimately. This, in turn, will prove to be an ideal situation for stockholders
b. A larger focus on stockholders, as insider directors and executives focus on only stockholders' interests
c. Stockholders' interests could be ignored due to executives' desire for personal financial gain without regard for all shareholders
d. Increase of profits from not having to pay an outsider director's salary
c. Stockholders' interests could be ignored due to executives' desire for personal financial gain without regard for all shareholders
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Which of the following antitrust provisions focuses on the unlawful selling of corporate assets to create a monopoly?
A) Clayton Act, Section 7 B) Clayton Act, Section 2 C) Sherman Act, Section 2 D) Sherman Act, Section 1
________ is the percentage of sales dollars that reaches net income on the common-size statements
A) The return on assets B) The income margin C) The profit margin D) The return on equity