The Firm's Information System

question 8

Multiple Choice

The firm's information system:

• A)is always a single integrated system
• B)includes only financial information
• C)may include other information such as customer satisfaction surveys,in addition to financial information
• D)is less important as a firm grows in size
• E)none of the above

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Definitions:

Directors Responsibility

The legal obligations that board directors have to manage a company's affairs diligently, in good faith, and in the best interests of the company and its shareholders.

Consumer Protection

Rules and policies established to protect consumer rights, promote fair competition, trading practices, and ensure truthful information is provided in the market.

Limited Liability

Liability is restricted to capital contributed; shareholders are shielded from liability for the corporation’s debts.

Law Governing Corporations

A body of laws and regulations that dictate the creation, operation, and dissolution of corporations.