Why is corporate governance required?

• To increase the company's market share

• To comply with international business standards

• To bridge the gap between ownership and control

• To ensure the company's profits are maximized

What does corporate governance seek to ensure?

• That all employees receive bonuses

• That the company has a global presence

• That shareholders' objectives are prioritized

• That directors' personal objectives are met

What is a common structure for corporate governance boards?

• Single executive board

• Unitary board structure

• Dual management system

• Multi-tier system

What approach does the Sarbanes-Oxley Act represent?

• Rules-based approach

• Voluntary code

• Principles-based approach

• Flexible approach

What is required from companies under a 'comply or explain' basis?

• To follow all government regulations without exception

• To comply with international standards only

• To disclose non-compliance and provide explanations

• To ensure 100% compliance with corporate governance codes

What is the role of non-executive directors (NEDs) on the board?

• To oversee the company's marketing efforts

• To execute the company's business strategies

• To represent the needs of the shareholders

• To manage day-to-day operations

Why should the roles of chairperson and CEO be separate?

• To increase the company's profitability

• To reduce the workload on the CEO

• To prevent a concentration of power

• To comply with international laws

What is the purpose of the audit committee?

• To manage the company's investments

• To oversee marketing strategies

• To review financial statements and audits

• To design new products

What does the nomination committee focus on?

• Board composition and director nominations

• Corporate social responsibility initiatives

• Annual financial targets

• Employee salaries

What is a key principle of best practice in corporate governance?

• Eliminating the need for audit committees

• Ensuring at least half the board is made up of NEDs

• Having a majority of executive directors on the board

• Merging the roles of CEO and chairperson