Business, 18.03.2020 01:24 Xmaryanne

Doug is the vice president of product development for a corporation that makes flavored honey. Doug proposes to the board that they approve three new products: chili-flavored honey, seaweed-flavored honey, and black-licorice honey. Doug and his team have market tested the flavors, and they received positive reviews from focus groups. The board approves the flavors, which then fail miserably and cost the company thousands of dollars. If some shareholders sue the board for its decision to market the flavors, the board .

Answers: 3

Show answers

Answers

Answer from: Furyplayzzz

most likely will not be held responsible because of the business judgment rule.

Explanation:

A business judgement rule is a legal provision that protects the board of a company from frivolous legal actions as flregards its business decisions.

Boards of companies are assumed to act in good faith, within their fiduciary standards of loyalty, prudence and care that the board owes to shareholders.

It will have to be proven that the board blatantly violated a code of conduct, otherwise the court will review or question it's decisions.

Answer from: naenae6775

will not be held responsible for the loss.

Explanation:

The business judgement rule is a doctrine that affects corporation's management and other agents. This doctrine is based on the idea that all business decisions yield unknown results, even the safest investments or safest projects can go wrong. Only the US government has never defaulted on a loan (US securities) but every other nation or organization has at one point in time defaulted or delayed a payment.

Investors that buy stocks from a corporation know about the risks of running a business, if they do not like to take risks, US securities are always available. As long as management (including the board) acts on good faith, within the normal scope of business, they cannot be held liable for any bad investment carried out.

If this doctrine didn't exist, no one would be able to manage a company, since no one would dare to make any decisions at all. When you calculate the price of stock or the cost of capital, you must add the risk free rate (US securities) + the risk premium.

Answer from: Quest

answer; ///i believe the correct answer is (350); (c) is your answer

Answer from: Quest

answer; (a) calling people who have not shown interest in the product and asking them to buy it;

Another question on Business

Business, 21.06.2019 22:20

Suppose a ceiling fan manufacturer has the total cost function c(x) = 48x + 1485 and the total revenue function r(x) = 75x. (a) what is the equation of the profit function p(x) for this commodity? p(x) = (b) what is the profit on 35 units? p(35) = interpret your result. the total costs are less than the revenue. the total costs are more than the revenue. the total costs are exactly the same as the revenue. (c) how many fans must be sold to avoid losing money? fans

Answers: 1

Answer

Business, 22.06.2019 01:30

Suppose the following items were taken from the balance sheet of nike, inc. (all dollars are in millions.) 1. cash $ 2,316.7 7. inventory $ 2,245.6 2. accounts receivable 2,786.2 8. income taxes payable 80.3 3. common stock 2,841.1 9. equipment 1,783.8 4. notes payable 291.2 10. retained earnings 6,162.5 5. buildings 3,959.7 11. accounts payable 2,624.6 6. mortgage payable 1,092.3 perform each of the following. classify each of these items as an asset, liability, or stockholdersâ€™ equity, and determine the total dollar amount for each classification. (enter amounts in millions up to 1 decimal place, e.g. 45.5 million.) cash accounts receivable common stock notes payable buildings mortgage payable inventory income taxes payable equipment retained earnings accounts payable assets $ 13092 liability $ 4088.4 stockholdersâ€™ equity $ 9003.6 etextbook and media determine nikeâ€™s accounting equation by calculating the value of total assets, total liabilities, and total stockholdersâ€™ equity. (enter amounts in millions up to 1 decimal place, e.g. 45.5 million.) total assets = total liabilities + total stockholdersâ€™ equity

Answers: 3

Answer

Business, 22.06.2019 08:40

During january 2018, the following transactions occur: january 1 purchase equipment for $20,600. the company estimates a residual value of $2,600 and a five-year service life. january 4 pay cash on accounts payable, $10,600. january 8 purchase additional inventory on account, $93,900. january 15 receive cash on accounts receivable, $23,100 january 19 pay cash for salaries, $30,900. january 28 pay cash for january utilities, $17,600. january 30 firework sales for january total $231,000. all of these sales are on account. the cost of the units sold is $120,500. the following information is available on january 31, 2018. depreciation on the equipment for the month of january is calculated using the straight-line method. the company estimates future uncollectible accounts. at the end of january, considering the total ending balance of the accounts receivable account as shown on the general ledger tab, $4,100 is now past due (older than 90 days), while the remainder of the balance is current (less than 90 days old). the company estimates that 50% of the past due balance will be uncollectible and only 3% of the current balance will become uncollectible. record the estimated bad debt expense. accrued interest revenue on notes receivable for january. unpaid salaries at the end of january are $33,700. accrued income taxes at the end of january are $10,100

Answers: 2

Answer

Business, 22.06.2019 11:40

Select the correct answer. which is a benefit of planning for your future career? a.being less prepared after high school. b.having higher tuition in college. c.earning college credits in high school. d.ruining your chances of having a successful career.

Answers: 2

Answer

You know the right answer?

Doug is the vice president of product development for a corporation that makes flavored honey. Doug...

Questions