CFA Practice Question

There are 86 practice questions for this study session.

CFA Practice Question

The board of directors is split into five equal-size groups. Each group is elected for a 5-year term in a staggered system. The implication is that it would take a potential acquirer at least ______ years to gain majority control of the board.

A. 1.
B. 3.
C. 5.
Correct Answer: B

This is because the terms are overlapping for the remaining board members.

User Contributed Comments 2

User Comment
pranit The key word is - majority control
BryonBUI Simple majority
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