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# Problem 17-10 Mr. Michaels controls proxies for 40,000 of the 75,000 outstanding shares of Northern Airlines. Mr. Baker heads a dissident group that...

This question was created from Homework Problems - Week 7 (2) https://www.coursehero.com/file/12218502/Homework-Problems-Week-7-2/

mr. Michaels controls proxies for 40,000 of the 75,000 outstanding shares of Northern Airlines. Mr Baker heads a dissident group that controls the remaining 35,000 shares. there are seven board members to be elected and cumulative voting rules apply. Michaels does not understand cumulative voting and plans to cast 100,000 of his 280,000 (40,000 x 7) votes for his brother-in-law, Scott. His remaining votes will be spread evenly between three other candidates. How many directors can Baker elect if Michaels acts as described? Use logical numerical analysis rather than a set formular to answer the question. Baker has 245,000 votes (35,000 x 7)

Problem 1?-1i} MI. Michaels cunnuls proxies fur alﬂﬂﬂﬂ of the ?5,ﬂ-U-D untstanding shares uf Nurthern Airlines.
MI. Baker heads a dissident gruup that controls the remaining 35,001] shares. There are seven huard members tu be elected and cumulative vuting rules apply. hﬁchaels dues nut undeIstand cumulative vuu'ng and plans tu cast lllﬂ,ﬂﬂﬂ uf his EBﬂﬂﬂﬂ {4D,ﬂﬂﬂ X T} vutes fur his hruﬂler—in—
law, Scott. His remaining vutes will he spread evenly fur three other candidates. Huw many directurs can Baker elect if Michaels acts as described ahuve? Use lugical numerical
analysis rather than a set furmula in answer the quesn'un. Baker has 245,00!) vutes (Sill-DID K T).

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