Which One of the Following Is NOT Among the Chief

question 46

Multiple Choice

Which one of the following is NOT among the chief duties/responsibilities of a company's board of directors insofar as the strategy-making,strategy-executing process is concerned?

• A) Hiring and firing senior-level executives and working with the company's chief strategic planning officer to improve the company's strategy when performance comes up short of expectations
• B) Being inquiring critics and exercising strong oversight over the company's direction,strategy,and business approaches
• C) Evaluating the caliber of senior executives' strategy-making/strategy-executing skills
• D) Instituting a compensation plan for top executives that rewards them for actions and results that serve stakeholders' interests,most especially those of shareholders
• E) Overseeing the company's financial accounting and financial reporting practices

---

Definitions:

Operating Expenses

Expenses incurred during the ordinary course of business operations, including costs related to sales, administration, and general activities.

Net Income

The remaining revenue after all costs, expenses, and taxes have been subtracted from a company's total revenue; essentially, a company's profit.

Periodic Inventory

An inventory system in which the inventory count is conducted at specific periods, determining the cost of goods sold by beginning inventory plus purchases minus ending inventory.

Merchandise Inventory

Goods a company intends to sell to customers that are stored as inventory.