The Beasley Corporation has been experiencing declining earnings
but has just announced a 50 percent salary increase for its top
executives. A dissident group of stockholders wants to oust the
existing board of directors. There are currently 14 directors and
34,500 shares of stock outstanding. Mr. Wright, the president of
the company, has the full support of the existing board. The
dissident stockholders control proxies for 17,101 shares. Mr.
Wright is worried about losing his job.
a-1.Under cumulative voting procedures,
how many directors can the dissident stockholders elect with the
proxies they now hold? (Do not round intermediate
calculations. Round your answer down to the nearest whole
a-2.How many directors could they elect
under majority rule with these proxies?
b.How many shares (or proxies) are needed
to elect nine directors under cumulative voting? (Do
not round intermediate calculations. Round your answer up to the
nearest whole number.