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      Question

      'Stewardship' in corporate governance refers

      to:
      A The CEO owning the majority of shares. Correct Answer Incorrect Answer
      B The board acting as trustees of the shareholders' interests. Correct Answer Incorrect Answer
      C The government controlling the bank's daily operations. Correct Answer Incorrect Answer
      D Hiring stewards for the bank’s cafeteria. Correct Answer Incorrect Answer
      E Only focusing on short-term profits. Correct Answer Incorrect Answer

      Solution

      Stewardship theory suggests that directors are motivated to act in the best interest of the owners (shareholders).

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