Name: Joelyn Grace Montajes Student Number: 117848

l. The basic principle of “transparency and full I disclosure" for effective

Corporate governance responds positively to the following
questions except. ·
a. Does the board of directors safeguard integrity in financial reporting?
b. Does the board meet the information needs of investment
communities?
c. Can and outsider meaningfully analyze the firm’s actions and
performance?
d. Has the board built long term sustainable growth in
shareholders' valu e for the corporation?

2. The basic principle of “accountability” for effective governance

answers the following questions positively, except
a. Does the board recognize and manage risk?
b. Does the board lay solid foundations for management oversight?
c. Does the composition mix of board membership ensure an
appropriate range and risk of expertise diversity, knowledge
added value?
d. Does the board promote objective ethical and responsi ble
decision making?

3. “Transparency and full disclosure?” principle advocates the

following except
a. Sound disclosure policies and practices
b. Solid foundations for management oversight
c. Meeting the information needs of investment communities
d. Safeguards integrity in financial reporting

4. The rights of shareholders can be effectively upheld through

the following measures except
a. By establ ishi ng an audit comm ittee
b. By designing and disclosing a communications strategy to promote affective
communication with shareholders.
c. By encouraging active participation at general meetings.
d . B y requiring the external auditor to amend the annual
general meeting and to answer questions about the audit
5. To safeguard integrity in financial reporting, the business
firm should do the following except
a.. Establish an audit committee
b. Request the external auditor to attend the annual gen era l meeting
c. Disclose the functions reserved to the board and those delegated to
management
d. Disclose the policy concerning trading in company securities by
directors, officers and employees.
6. To encourage enhanced performance by the board and
management, it is recommended that the following should
be adopted except
a. Disclosure of the process for performance evaluation of the board, its
committees, individual directors and by executives
b. A remuneration committee
c. Dis t inguish between non-executive director's remuneration from that of
executives
d. Establish policies on risks oversight and management
7. The characteristic of good governance where fair legal framework are
enforced impartially is
a. Participation
b. R u l e of Law
c. Equity
d. Accountability