The business judgment rule does not apply if:

Select one:

a. Directors rely on expert opinion

b. The decision causes a drop in the price of stock

c. Directors made an informed decision

d. There is fraud, illegality, or a disabling conflict of interest

The duty of loyalty requires officers and directors to:

Select one:

a. Act in the best interests of the organization

b. Avoid usurping a corporate opportunity

c. All answers are requirements of the duty of loyalty

d. Avoid using their position for personal benefit

The commerce clause:

Select one:

a. Is a source of federal authority and a restraint on state action

b. Gives states unlimited authority to create laws that affect interstate commerce

c. Allows Congress unlimited authority when creating laws that affect interstate commerce

d. Is rarely relied on by Congress

In the context of securities, every attempt to dispose of a security or interest in security for value, is an:

Select one:

a. Offer

b. Sale

c. Waiting Period

d. Underwriting