Jiao, a Student of Business Management, Claims That the Shareholder

Multiple Choice

Jiao, a student of business management, claims that the shareholder primacy model is better than the stakeholder model of business management. Which of the following statements best supports her claim?

A) The customers are the legal owners of the corporation's assets.
B) The most important input into making a business successful is wealth.
C) The shareholders own stock of a corporation that they can easily trade.
D) The shareholders have different objectives for investing in a firm.