Question

De Bruyne Inc., a publicly-traded company, has ten members on its board. Of the ten members, six members are employees of the company and include the CEO, who also chairs the board. The board has been failing in its responsibilities toward the shareholders who now want a new board. Assuming that the total number of board members remains constant, how many outside directors should the shareholders appoint to De Bruyne's board to achieve board independence?

Answer 1

7

Step-by-step explanation:

Based on the information provided within the question it can be said that in this scenario, in order to be able to achieve board independence De Bruyne needs to appoint 7 shareholders. This would even out the amount of non biased votes within the board members and allow the board to achieve independence from the company itself.