Even if management is behaving irresponsibly toward investors, stockholders may be reluctant to take action because
A) a management change may drive the stock price down.
B) it's too much trouble.
C) the creditors probably wouldn't support them.
D) the board of directors will overrule them.
E) company management will retaliate.

Question

Quizplus · Accepted Answer

Stockholders may be reluctant to take action against irresponsible management because a management change may lead to uncertainty and drive the stock price down. This can result in a decline in shareholder value and potential losses for the investor.

Even If Management Is Behaving Irresponsibly Toward Investors, Stockholders May