Exam 4: Fundamental Concepts of Corporate Governance

Continuous disclosure requires companies to notify the ASX of any confidential information that a reasonable person would expect to have a material effect on the price of the securities of that entity.

Which of the following statements do not apply to hard regulation?

Which of the following statement is incorrect?

Team production theory is a concept that includes elements of both agency theory and stakeholder theory.

The ASX Corporate Governance Principles and Recommendations are legally enforceable for all listed entities and are an example of hard regulation.

Which of the following is not an example of a hard regulation?

The finance function of companies is under increasing pressure to produce meaningful information that can be readily understood by part-time directors.

Which of the following was not one of the corporate governance deficiencies that contributed to the collapse of ABC Learning Centres Ltd?

Under the insider trading provisions of the Corporations Act,persons are prohibited from communicating information that is likely to have a material effect on a company's share price to anyone they think will deal in the company's shares.

How many principles are contained within the ASX Corporate Governance Council's principles of good corporate governance?

According to the ASX Corporate Governance Council's independence test,which of the following is an example of an interest,position association or relationship that might cause doubts as to a director's independence? If the director:

Which of the following reforms was introduced in the US Sarbanes-Oxley Act?

The German system of corporate governance represents a hybrid approach to corporate governance and refers to an approach that adopts elements of agency theory and elements of stakeholder theory.

The aims of the Sarbanes-Oxley Act do not include which of the following?

A grey director is:

Which of the following is not one of the ASX Corporate Governance Council's principles of good corporate governance?

Which is the major theory shaping the corporate governance debate?

The Australian corporate governance system is an example of an agency-dominated Anglo-American system which emphasises shareholder value.

The classic court decision that relates to a director's duty to avoid a conflict of interest is:

Pluralist systems of corporate governance recognise a broader group of stakeholder interests than agency systems.