Even Though the Compliance the Cadbury Code of Best Practice

question 23

Multiple Choice

Even though the compliance the Cadbury Code of Best Practice is voluntary,

• A)the Cadbury Code has made a significant impact on the internal governance mechanisms of U.K. companies.
• B)the job security of U.K. chief executives has become more sensitive to the company performance, strengthening managerial accountability and weakening its entrenchment.
• C)joint CEO/COB (chief executive officer and chairman of the board) positions declined.
• D)all of the above

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Definitions:

Option

A financial derivative that gives the buyer the right, but not the obligation, to buy or sell an asset at a specific price on or before a certain date.

Objectively

In a manner that is not influenced by personal feelings or biases, based on factual and unbiased considerations.

Labor

The human effort, both physical and mental, used in the production of goods and services.

Positive Economics

Positive Economics is the branch of economics that deals with the description and explanation of economic phenomena, focusing on factual and cause-and-effect relationships.