Business law 531

If a corporate officer or director acts in a manner to make use of an advantage that he or she knows will only benefit himself or herself and deprives the corporation of that advantage, what breach of fiduciary duty has been committed?

Under what system of corporate voting by shareholders can a minority shareholder achieve success in electing someone to the board of directors? In order to prevent and clear hazardous wastes that increase mortality or serious illness, the federal government established a specific method to finance the cleaning of polluted areas by enacting what statute?

The Superfree Act

The Comprehensive Environmental Response, Compensation, and Liability Act The Toxic Substances and Control Act

Unless otherwise stated in the articles of incorporation, a quorum to hold a meeting of the shareholders is generally defined as which of the following?

The number of shareholder votes necessary to pass an action. A committee of directors selected to vote on a corporation action. The number of registered shareholders eligible to vote at a given time. A majority of shareholders required to be present to vote on a corporate action Incorrect. If a corporate officer in the position of secretary intentionally takes over the powers provided to the treasurer in the corporate documents, what fiduciary duty does that corporate secretary breach?

In 1970, Congress established an administrative agency to enforce statutes enacted to protect the air and water of this country. What is the name of this agency?

Army Corps of Engineers Agency Incorrect According to the provisions set forth by the Sarbanes-Oxley Act, which federal government agency may issue an order prohibiting any person who has committed securities fraud from acting as an officer or a director of a public company?

Federal Communications Commission

United States International Trade Commission

Federal Reserve System

Securities and Exchange Commission Incorrect

Which of the following is likely to be a breach of a corporate officer’s or director’s duty of care? C

Failing to anticipate a drop in the consumer demand of the company’s product Failing to predict the startup of a new competitor. Failing to react appropriately to a severe rise in the prime interest rate

Failing to predict a raw materials shortage resulting from a natural disaster Incorrect

The Sarbanes-Oxley Act is intended to increase the confidence of the public and investors through increasing which of the following?

Secretary of Commerce Incorrect Tuff-Steele Constructions, Inc. has not been adhering to appropriate worker safety rules. As a result, there have been an increased number of on-site accidents and several construction workers have sustained serious injuries. Which of the following powers will allow an administrative agency to bring agency proceedings against Tuff-Steele Constructions? A