Which one of the following statements is TRUE?
A) If a company has a classified board, fewer board seats are filled each year.
B) One tool of corporate governance is choosing a good investment banker.
C) A classified board is one in which the board members serve anonymously.
D) A classified board is one in which an announcement requesting applications for board members appears in the newspaper.
E) In a classified board, it is easier for dissidents to gain representation since fewer seats are up for election each year.

Question

Quizplus · Accepted Answer

A classified board is one in which only a portion of the board seats are up for election each year. This can make it more difficult for dissidents to gain representation, as there are fewer seats available for election at any one time.

Which One of the Following Statements Is TRUE