16 Sheri owns 75 and Paris owns 25 of the shares of Sheraton

16, Sheri owns 75% and Paris owns 25% of the shares of Sheraton Hostels, Inc. When selecting directors of the company, they have equal voting rights. TRUE FALSE 17. Tucker is a Director of USA Auto Parts, Inc. Because of his special status, Tucker\'s decisions are \"pro-forma\" - meaning he only needs to agree with whatever decision the corporate president recommends, and not make any reasonable effort to be informed. TRUE FALSE

Solution

16. Answer is False. Since sheri owns 75% of the shares then he would have more voting power as compared to Paris who owns only 25% of the shares while electing the directors of the company.

17. Answer is False. Under the standard of due care owed by directors of a corporation, Tucker\'s decisions must be Informed and Reasonable.