Question

Kite Sales. Wendy is president of a business that manufactures kites. The kites of her company, ABC Kites, are sold to large toy stores. After Wendy learned a great deal about kites, she started to make kites at home and to promote them to large toy stores. She also started selling kites to friends. Some of the directors learned about her kite sales and accused her of wrongdoing. Wendy denied any wrongdoing. What duty, if any, did Wendy violate?

A. She did not commit any violation.

B. She violated the duty of loyalty.

C. She violated the duty of care.

D. She violated the duty of understanding.

E. She violated the duty of profit maximization.

Answer

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