The Majority of Studies on Board Composition and Firm Performance

question 31

Multiple Choice

The majority of studies on board composition and firm performance and risk show that an increase in the number of independent directors on a board will:

• A) reduce the financial performance of a form.
• B) increase the financial performance of a firm.
• C) have no impact on the financial performance of a firm.
• D) increase the risk of a firm.

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Definitions:

Interpretation

The act of explaining, reframing, or giving meaning to a particular phenomenon, situation, or piece of information.

Robert Zajonc

A psychologist known for his work on the mere-exposure effect and social facilitation.

William James

A pioneering American philosopher and psychologist, known for his foundational contributions to functionalism and pragmatism in psychology.

Robert Zajonc

A psychologist known for his work on social facilitation, the mere exposure effect, and other social and cognitive processes.