Discuss the merits of the following statement: Inside directors should constitute the majority of a corporate board, because insiders have superior understanding of the firm’s business operations. Please cite an evidence that is in support or in opposition to this assertion?
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Discuss the merits of the following statement: Inside directors should constitute the majority of a corporate board, because insiders have superior understanding of the firm’s business operations. Please cite an evidence that is in support or in opposition to this assertion?
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- How do the concepts of cognitive dissonance and organizational/ethical dissonance relate to whether an accountant might choose to blow the whistle on corporate wrongdoing?Independent directors are the agent and trustee of the company, their duties and responsibility towards the shareholder and other stake holders are akin to full time director , but there are few cases reported where the independent director had their personnel hidden interests in the company that jeopardize the general interest of the appointing independent director on board of company. Explain the responsibility of the independent directors toward shareholder and stakeholder. Explain your role in board meetings if you are appointed as an independent director of a company.The primer objective of corporate governance is supporting one of the following: Select one: a. All of the given choices b. Increase level of confidence and transparency of company. C. Ensure that the company is run in a legal and ethical manner. d. Control the controller by increasing the amount of reporting and disclosures to all stockholders
- Which of the following factors would weaken corporate governance? A.Ensuring that the rotation of directors is such that the average incumbency ensures that all diretors are appointed for a long period so as to enhance their familiarity with the company's policies and procedures B.Stipulating the maximum number of directorship a director can commit to C.Ensuring the CEO is not the chairman of the board of directors D.The appointment of independent directors to the audit committeeWhich of the following does NOT form part of the objectives of a corporate governance best practice framework? Separation of chairperson and CEO roles Establishment of audit, nomination and remuneration committees O Minimisation of risk Employment of non-executive directorsQuestion 1: It has been said that good corporate governance is an important ingredient in corporate success and that regulators should encourage good corporate governance. Required: Discuss the above statement. In your response draw on the knowledge you have acquired during the course, and refer to at least two relevant examples of poor governance to support your answer.
- How can a financial auditor use the following topic in his future work? Analyze the roles of the parties that contribute to corporate governance, recognizing that each has its own internal governance structures Evaluate the prescribed roles and responsibilities of the parties involved in corporate governance against their real-world manifestation Recognize both the motivations of and temptations faced by those involved in the governance process and evaluate them against processes and controls aimed towards ensuring ethical behavior and transparent, high-quality reporting. Distinguish form from substance as it relates to parties exercising control over an entity and learn to apply this knowledge when evaluating a variety of different accounting and auditing matters Dissect elements of certain seminal accounting and auditing events in order to evaluate their effect on the corporate governance landscape.Which of the following best describes the role that corporate governance plays in a company? Shareholders vote to decide who should be members of the board of directors. Holding the management team accountable to shareholders and other stakeholders for how they use the entity's resources. Management often is compensated based on the company's profitability. Management decides which accounting principles are the most appropriate.A non-executive director of Plumtree plc has been asked to deliver a presentation to the company's executive directors on corporate govenance in his introduction he wishes to make clear the fundamental problem that corporate governance seeks to addressThis is the problem of.A. IrreversibilityB. sustainabilityC. market failuresD. the separation of ownership and control
- do not copy from bartleby a) One of the objectives of a system of corporate governance is to secure the effective, sound andefficient operation of companies. This objective transcends any legislation or voluntary code.Good corporate governance embraces not only making the company prosper but also doingbusiness in a legal and ethical manner. A key element of corporate governance is the auditcommittee. The Audit Committee is a committee of the board of directors and is of a voluntarynature regulated by voluntary codes.You are required to:i) Explain how an audit committee could improve its effectiveness on internal auditor's internalcontrol review and oversight work.i) Discuss the problems associated with initiatives that been put forward to ensure independenceof members of audit committee.Managers of corporations need to act in an ethical manner O because ethical behavior is its own justification. O because a business must be trusted by investors, customer and the public if it is to succeed. O because business managers must answer to a higher authority. O because ethics violations will be punished by the law.What are some factors that can increase the risk that a corporation does not have a corporate culture that supports ethical decision making? Please explain.
