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The Beasley Corporation has been experiencing declining earnings but has just announced a 5 0 percent salary increase for its top executives. A dissident group
The Beasley Corporation has been experiencing declining earnings but has just announced a percent salary increase for its top
executives. A dissident group of stockholders wants to oust the existing board of directors. There are currently directors and
shares of stock outstanding. Ms Wright, the president of the company, has the full support of the existing board. The dissident
stockholders control proxies for shares. Ms Wright is worried about losing her job.
a Under cumulative voting procedures, how many directors can the dissident stockholders elect with the proxies they now hold?
Note: Do not round intermediate calculations. Round your answer down to the nearest whole number.
Number of directors
How many directors could they elect under majority rule with these proxies?
One
Two
Three
Four
None
b How many shares or proxies are needed to elect seven directors under cumulative voting?
Note: Do not round intermediate calculations. Round your answer up to the nearest whole number.
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