Board members to be elected-cumulative voting rules apply

Assignment Help Financial Management

Reference no: EM131548899

Mr. Michaels controls proxies for 50,000 of the 92,000 outstanding shares of Northern Airlines. Mr. Baker heads a dissident group that controls the remaining 42,000 shares. There are eleven board members to be elected and cumulative voting rules apply. Michaels does not understand cumulative voting and plans to cast 205,000 of his 550,000 (50,000 × 11) votes for his brother-in-law, Scott. His remaining votes will be spread evenly for five other candidates. How many directors can Baker elect if Michaels acts as described above? Assume Mr. Baker casts an equal number of votes for each open position. (Do not round intermediate calculations and input your answer as a whole number.)

Reference no: EM131548899

Questions Cloud

What is free trade credit : which offers the clinic terms of 5/10, net 30. What is Fairview Clinic’s free trade credit?

Which is the more sensible system a vat or a sales tax : In your opinion, which is the more sensible system a VAT or a sales tax? Why?

What will postmerger earnings per share : what will postmerger earnings per share be for Barnes Enterprises?

What are three private revenue sources used by government : What are the three “private” revenue sources used by government? What are the pros and cons of each method?

Board members to be elected-cumulative voting rules apply : There are eleven board members to be elected and cumulative voting rules apply.

They elect under majority rule with these proxies : How many directors could they elect under majority rule with these proxies? How many shares are needed to elect nine directors under cumulative voting.

What is its pretax cost of debt-what is the cost of equity : If Kose’s cost of equity is 16 percent, what is its pretax cost of debt?

Bond coupon rate is equal to the annual interest divided : What is cash flow from assets expected to be next year? A bond's coupon rate is equal to the annual interest divided by which one of the following?

Compute overall gain or loss from managing the issue : Compute Becker Brothers’ overall gain or loss from managing the issue.

User Account

All Pages