Which of the Following Is True of Ethical Misconduct

question 9

Multiple Choice

Which of the following is true of ethical misconduct?

• A)It can occur even if all the checks governing a board of directors is in place.
• B)It cannot be influenced by the personalities of individual board members.
• C)It is least likely to occur when a CEO has more authority than board members.
• D)It is barred effectively by the "comply or explain" approach to corporate governance.

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Definitions:

Imperfect Competitor

An entity in a market that cannot dictate the prices of its goods or services due to the presence of competition, contrary to a monopoly.

Regional

Pertaining to or characteristic of a specific geographic area or division, often considered in terms of economic, political, or cultural distinctions.

Local Levels

Pertains to activities, governance, or administration executed at a community, town, or city scale, focusing on the immediate geographical area.

Diseconomies of Scale

A situation in which a firm experiences an increase in average costs due to an increase in its size or output level, often resulting from inefficiencies and higher per unit costs.