What does the prudent man rule require?

A.
Senior officials to guarantee that all precautions have been taken and that no breaches of
security can occur

B.
Senior officials to post performance bonds for their actions

C.
Senior officials to perform their duties with the care that ordinary,
prudent people would exercise under similar circumstances

D.
Senior officials to follow specified government standards

Explanation:
*Answer “Senior officials to post performance bonds for their actions” is a distracter and is not part
of the prudent man rule.
* Answer “Senior officials to guarantee that all precautions have been taken and that no breaches
of security can occur” is incorrect because it is not possible
to guarantee that breaches of security can never occur.
* Answer “Senior officials to follow specified government standards” is incorrect because the
prudent man rule does not refer to a specific

government standard but relates to what other prudent persons
would do.