Corporate Governance Quiz
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Questions and Answers

Which of the following is included in the narrow definition of corporate governance?

  • The relationship between corporate managers and shareholders (correct)
  • The relationship between the corporation and all of its stakeholders
  • The sets of laws and regulations that enable corporations to attract capital
  • The voluntary private-sector practices that enable corporations to perform efficiently

    • What do lawyers tend to focus on when it comes to corporate governance?

  • The contractual and fiduciary aspects of the governance function (correct)
  • The alignment of incentives
  • The relationship between the corporation and all of its stakeholders
  • The decision-making objectives and potential for conflict of interest

    • What do finance scholars and economists think about when it comes to corporate governance?

  • The contractual and fiduciary aspects of the governance function
  • Decision-making objectives, potential for conflict of interest, and alignment of incentives (correct)
  • The sets of laws and regulations that enable corporations to attract capital
  • The relationship between the corporation and all of its stakeholders

    • What is encompassed by broader descriptions of corporate governance?

    <p>The relationship of the corporation to all of its stakeholders and society (A)</p> Signup and view all the answers

    What do management consultants typically consider when it comes to corporate governance?

    <p>Not mentioned in the text (D)</p> Signup and view all the answers

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