Poor Corporate Governance Can Take the Extreme Form of Outright

question 187

True/False

Poor corporate governance can take the extreme form of outright fraud, and because corporate fraud is legal under U.S. law, it must be dealt with internally, such as with a profit sharing agreement.

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Definitions:

Consumer Rights

The legal entitlements and protections afforded to consumers, which may include the right to safety, the right to be informed, the right to choose, and the right to be heard.

S Corporation

A special type of corporation in which the owners are taxed as partners.

Flexibility

The ability to adapt to new, different, or changing requirements.

Caveat Emptor

A Latin phrase meaning "let the buyer beware," implying that the responsibility for due diligence before a purchase lies with the buyer.