Which of the Following Statements Is False

question 25

Multiple Choice

Which of the following statements is false?

• A) The Cadbury Commission stiffened the criminal penalties for providing false information to shareholders.
• B) The Exchange Acts of 1933 and 1934, among other things, established the Securities and Exchange Commission (SEC) and prohibited trading on private information gained as an insider of a firm.
• C) Many of the problems at Enron, WorldCom, and elsewhere were kept hidden from boards and shareholders until it was too late. In the wake of these scandals, many people felt that the accounting statements of these companies, while often remaining true to the letter of GAAP, did not present an accurate picture of the financial health of a company.
• D) While one study found that those firms that separated the position of CEO and chairman performed better, another found no relation between the independence of key board committees and firm performance in the post-Cadbury era.

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Definitions:

Acquire Syntax

The process by which individuals learn the rules and structure of language necessary to form coherent sentences and understand others.

Communicate

The act of sharing or exchanging information, thoughts, or feelings through speech, writing, gestures, or other means.

Sign Language

A complex system of hand gestures and movements used as a primary means of communication by deaf and hard of hearing people.

Language-Like Syntax

The structured order and arrangement of words and phrases to create meaningful sentences or expressions, reminiscent of natural language grammar.