Which of the Following Statements Is FALSE

question 10

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.

---

Definitions:

Ineffective Managers

Individuals in managerial roles who fail to generate desired outcomes, often due to lack of skills, poor communication, or inability to adapt to change.

Experience of Flow

A mental state in which a person performing an activity is fully immersed in a feeling of energized focus, full involvement, and enjoyment in the process.

Strengths-Based Leadership

A leadership approach focusing on identifying and maximizing the individual strengths of team members to improve organization performance.

Managing by Objectives

A management strategy wherein employees and managers collaborate to identify and set clear objectives to be achieved within a specific timeframe.