Which of the Following Is True Regarding CEO Duality

question 47

Multiple Choice

Which of the following is true regarding CEO duality?

• A)From an agency theory standpoint, if the board is to supervise agents such as the CEO, it seems imperative that the board be chaired by the same individual.
• B)In US firms with CEO duality, the trend now is to appoint a lead independent director, who chairs the sessions held by outside directors that do not involve company executives.
• C) A corporation led by two top leaders-a board chairperson and a CEO-will at least have unity of command and experience less top-level conflict.
• D) Firms around the world are being pressured to combine the two top jobs..

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Definitions:

Presidential Power

Refers to the executive powers held by the President of the United States, as defined by the Constitution, including making treaties, appointing federal judges, and acting as commander-in-chief of the armed forces.

Executive Office

A sector of government responsible for implementing laws and administering public policy, usually headed by a president or prime minister.

President (EOP)

The head of the Executive Office of the President, responsible for supporting the President of the United States in carrying out executive functions.