Exam 10: Corporate Governance and Reform

The open and public disclosure and reporting of the activities of an organization,including financial,civil,and environmental impacts and concerns is referred to as ________.

________ is a relationship between two parties whereby one party has the trust and legal and ethical duty to act in the best interests of the other.

According to the text,companies from which of the following countries have been credited with striving to operate in the interest of multiple stakeholders,not just the shareholders?

Lizzie's Subs uses only recycled cups and napkins.The company uses energy-efficient lighting and encourages employees to carpool to work.Lizzie's Subs is demonstrating:

The New York Stock Exchange,London Stock Exchange,and Mexico City Bolsa are examples of debt markets.

The strength of the shareholder wealth maximization model is its clear focus on the returns to a specific stakeholder,the stockholder.

A corporation is a legal creation deemed to have rights and responsibilities like a person.Unlike human beings,however,a corporation ________.

A(n)________ is the first sale or issuance of shares of ownership (stock)in an organization to the market.

________ regimes,like that of the United States,Canada,and the United Kingdom,are characterized by relatively efficient capital markets in which the ownership of publicly traded companies is widely dispersed.

Which of the following statements is true?

The Code Napoleon is typically the basis of the legal systems in all of the following countries EXCEPT:

Profits that arise from the increase in the value of an asset,such as a publicly traded share,over what was paid for that same asset are called ________.

________ is the operation of a firm or organization in a manner which attempts to balance the interests of all stakeholders of the organization.

The single overriding objective of corporate governance in the non-Anglo-American markets is the optimization over time of the returns to shareholders.

Define corporate social responsibility and corporate sustainability.Be sure to describe the difference between the terms.

In terms of global business,most companies are publicly traded.

The Sarbanes-Oxley Act was passed in an effort to reform corporate governance.

According to recent country rankings compiled by Governance Metrics International (GMI),________ has the highest country governance ranking.

The results of Edelman's trust barometer shows that trust in business in the United States ________ in January 2009 following the major financial crisis and bank failures in the fall of 2008.

________ is either first or second in importance across countries in a survey of differing perceptions on corporate responsibility.