The Lending Club Removed CEO Renaud Laplanche in 2016

question 16

Multiple Choice

The Lending Club removed CEO Renaud Laplanche in 2016.Hans Morris,the company executive chairman,lauded him,saying his entrepreneurial spirit was critical to the success of the firm.But he also signaled the board was removing Mr.Laplanche because he had failed to build a strong control system and culture,stating that as a public company that provides a financial service,Lending Club must meet the industry high standards of transparency and disclosure.This kind of dismissal signals what message to the public?

• A) Mr. Laplanche was not a creative entrepreneur.
• B) The board of directors is active and engaged.
• C) The board of directors needed a scapegoat to cover up their ineffectiveness.
• D) Mr. Laplanche was dishonest.

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Definitions:

AGI

Adjusted Gross Income, which is gross income minus certain adjustments, used as a baseline for calculating taxes owed.

Married Filing Joint

A tax filing status for married couples who choose to file a single tax return jointly, combining their incomes, exemptions, deductions, and credits.

Earned Income Credit

A refundable tax credit for low- to moderate-income working individuals and families, especially those with children.

Taxpayers With Children

Individuals or entities responsible for paying taxes who have children, potentially qualifying for specific tax benefits or deductions.