Which is NOT TRUE about the needs for corporate governance?

• To avoid mismanagement

• To enable companies operate more efficiently, to improve access to capital, mitigate risk and safeguard stakeholders

• To increase the accountability of your company and to avoid massive disasters before they occur

• To analyze of an organization's operations and maintenance of systems of internal controls can help detect and prevent various forms of fraud and other accounting irregularities.

Which is BEST definition for Corporate Governance?

• A system of law and sound approaches by which corporations are directed and controlled focusing on the internal and external corporate structures with the intention of monitoring the actions of management and directors and thereby mitigating agency risks which may stem from the misdeeds of corporate officers

• A part of regulatory and market mechanisms, the roles and relationships between a company’s management, its board directors, its shareholders and other stakeholders, and the goals for which the corporation is governed

• Essentially involves balancing the interests of a company's many stakeholders, such as shareholders, senior management executives, customers, suppliers, financiers, the government, and the community.

• Refers to the way a corporation is governed. It is the technique by which companies are directed and managed. It means carrying the business as per the stakeholders' desires

What is it means by good board practices?: More than 1 answer

• Board of Directors clearly defined roles and authorities.

• Planning appropriate Board procedures

• Risk management framework present

• Director remuneration in line with best practice

Elements of an Effective Corporate Governance System are: More than 1 answer

• Accountability

• Transparency

• Regulatory framework

• Business ethics and social responsibility

"A good corporate citizen is increasingly seen as one that is non-discriminatory, non-exploitative and responsible with regard to environmental and human rights issues."

Above statement refers to the element of corporate governance

• Accountability

• Transparency

• Regulatory framework

• Business ethics and social responsibility

Choose the right answer for the benefits of a company that apply corporate governance in their companies: More than 1 answer

• Give positive impact on the share price.

• Ensures organization in managed in a manner that fits the best interests of all

• Good corporate governance ensures corporate success and economic growth

• Significant problems arise when the flow of information within the governance structure falters or if employees are not held

Audit Committee must be appointed to prevent any irregularities and fraud lies with management. Who should be the members for the audit committee?: More than 1 answer

• A lawyer

• An auditor

• An accountant

• Shareholder (preferred share)

What is the advantages of having an audit committee in a company?: More than 1 answer

• Good audit committee ensures corporate success and economic growth.

• Strengthening the independence of the internal audit function.

• Ensures organization in managed in a manner that fits the best interests of all.

• Better monitoring of compliance with standards, laws and regulations.

Which is the BEST explanation for well defined shareholders?: More than 1 answer

• Board self-evaluation and training conducted

• Minority shareholders rights formalized.

• Well-organized shareholder meetings conducted

• Policy on related party transactions.

Key players in good corporate governance are: more than 1 answer

• Directors and management of corporation

• Audit committee members

• Internal and External auditors

• Shareholders