When Discussing the Structure of Corporate Governance, the Authors Distinguish

question 42

Multiple Choice

When discussing the structure of corporate governance, the authors distinguish between internal and external factors. ________ is an example of an internal factor, and ________ is an example of an external factor.

• A) Equity markets; executive management
• B) Debt markets; board of directors
• C) Executive management; auditors
• D) Auditors; regulators

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Definitions:

Total Liabilities

The aggregate of all debts and other legal obligations of an individual or company due to other entities.

Total Assets

The sum of all assets owned by a business, including current, fixed, and intangible assets, representing its overall value.

Ethics

The standards of conduct by which actions are judged as right or wrong, honest or dishonest, fair or not fair.

Net Income

The total earnings of a company after all expenses and taxes have been deducted from revenues, indicating the company's profitability.