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Question:

To protect shareholders’ long-term interests, the most appropriate characteristic for a board of directors is that:

A the majority of board members are not firm executives.
explanation

For a board to be independent, it should not have a majority of members who are firm executives. Board members should not be closely aligned with customers, suppliers, or pension advisors since their interests may conflict with those of shareholders. The board should meet regularly outside the presence of management.

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