Which rule best explains why the verb in the following sentence is correct? the owner or the business managers need to prepare the annual budget. this sentence has a mixed compound subject connected by or, so the verb agrees with the first singular subject. a plural indefinite pronoun comes before the compound subject, so a plural verb is used. this sentence has a mixed compound subject connected by or, so the verb agrees with the plural subject that is closer. both parts of the compound subject are plural, so a plural verb is used.