Which of the Following Is the BEST Way for a Company

question 84

Multiple Choice

Which of the following is the BEST way for a company to ensure that performance standards are met and employees do not misuse the firm's resources?

• A) build an entrepreneurial culture
• B) develop an effective succession plan for top management
• C) establish effective control systems
• D) minimize the number of institutional investors

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Definitions:

Semiannual Interest

Interest that is paid or calculated twice a year on a loan or investment.

Available-for-sale Securities

Available-for-sale securities are financial assets that are neither classified as held-to-maturity securities nor trading securities, and are recorded at fair market value on the balance sheet.

Fair Value

The estimated market value of an asset or liability, reflecting the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction.

Brokerage Fee

A fee charged by a broker to execute transactions or provide specialized services.