ACAUD 2348 Quizzes Compilation

What are some factors that contribute to the commission of corruption? a. All of the above b. Career advancement c. Earnings of more income d. Financial problem encountered

a. All of the above

Statement 1: Personal ethics does not vary from individual to individual at any point in time. Statement 2: It is uncommon for people to differ in their moral principles or values. a. Both statements are false b. Statement 1 is true; Statement 2 is false c. Both statements are true d. Statement 1 is false; Statement 2 true

a. Both statements are false

Statement 1: Governance can be used in several contexts: international governance, national governance, local governance, corporate governance Statement 2: Governance is responsive to the present and future needs of society a. Both statements are true b. Both statements are false c. Only statement 2 is true d. Only statement 1 is true

a. Both statements are true

Examples of direct misrepresentation about the product include the following except a. Caveat emptor b. Deceptive packaging c. Mislabeling d. False advertising

a. Caveat emptor

Which of the following audit committee responsibilities has the SEC mandate? a. Discussing it its meetings the company's earnings press releases, as well as financial information and earnings guidance provided to analysts B. Reviewing with the internal auditor any audit problems or difficulties that they have had with management c. Obtaining each year a report by the internal auditor that addresses the company's internal control procedures, any quality control or regulatory problems, and any relationships that might threaten the independence of the internal auditor d. All of the above

a. Discussing it its meetings the company's earnings press releases, as well as financial information and earnings guidance provided to analysts

The basic principle of "corporate control" for effective corporate governance responds positively to the following questions except: a. Does it safeguard integrity in financial reporting? b. Has the board built long-term sustainable growth in shareholders' value for the corporation? c. Does it create an environment to take risks? d. Does it encourage enhanced performance?

a. Does it safeguard integrity in financial reporting?

The basic principle of "accountability" for effective governance answers the following questions positively, except a. Does the board recognize and manage risk? b. Does the board promote objective, ethical and responsible decision-making? c. Does the composition mix of board membership ensure an appropriate range and risk of expertise diversity, knowledge added value? d. Does the board lay solid foundations for management oversight?

a. Does the board recognize and manage risk?

A primary objective of corporate governance is to a. Ensure that the interests of top-level managers are aligned with the interests of shareholders b. Resolve conflicts among corporate employees c. Lobby legislators to pass laws that are aligned with the organization's interests d. Determine and control the strategic direction of an organization, so that the top executives are focused on maximizing corporate profits

a. Ensure that the interests of top-level managers are aligned with the interests of shareholders

Direct stakeholders include the following, except: a. Future generations b. Major suppliers c. Employees d. Major customers

a. Future generations

Which is not included in the characteristics and values associated with ethical behavior? a. Responsiveness b. Accountability c. Pursuit of Excellence d. Caring for others

a. Responsiveness

Which of the following refers to the objectives of corporate governance? a. Self-Assessment b. Effectiveness and Efficiency c. Participation d. Equity and Inclusiveness

a. Self-Assessment

Choose the correct term among the choices to match the definition: The power to participate in the financial and operating policy decisions of the company but has no control or joint control of those policies. a. Significant Influence b. Proprietary Right c. Stakeholders d. Non-Proprietary Right e. Non-Executive Director f. Enterprise Risk Management g. Related Parties h. Independent Director i. Management j. Related Party Transaction k. Executive Director l. Public Company m. Board of Directors n. Corporate Governance o. Internal Control

a. Significant Influence

The most important characteristics of all recognized professions include the following, except: a. A responsibility to serve the public b. A concern for the environment c. A complex body of knowledge d. A need for public confidence

b. A concern for the environment

The corporate governance structure of a company reflects the individual companies: a. Legal and business system b. All of the above c. Cultural and economic system d. Social and regulatory system

b. All of the above

Approving annual financial reports and other public documents are specific responsibilities of a. Shareholders b. Board of directors c. Management d. Employees

b. Board of directors

Statement 1: ​Generally, governance refers to a process whereby elements in society wield power, authority, and influence and enact policies and decisions concerning public life and social upliftment. Statement 2: Governance can be used in several contexts such as corporate governance, international governance, national governance, and local governance. a. Both statements are false b. Both statements are true c. Statement 1 is true; Statement 2 is false d. Statement 1 is false; Statement 2 is true

b. Both statements are true

The basic principle of "transparency and full disclosure" for effective corporate governance responds positively to the following questions except: a. Does the board of directors safeguard integrity in financial reporting? b. Has the board built long-term sustainable growth in shareholders' value for the corporation? c. Does the board meet the information needs of investment communities? d. Can an outsider meaningfully analyze the firm's actions and performance?

b. Has the board built long-term sustainable growth in shareholders' value for the corporation?

Statement 1: The Audit Committee prepares the audited financial statements as well as public reports on internal control. Statement 2: Management provides accurate and timely reports to shareholders and other stakeholders. a. Both statements are true. b. Only Statement 2 is true. c. Both statements are false. d. Only Statement 1 is true.

b. Only Statement 2 is true.

The process of appealing to the emotions of a prospective customer and urging him to buy a product he does not need just because he can afford it, pertains to which unethical act? a. Short measurements b. Over persuasion c. Adulteration d. False advertisement

b. Over persuasion

Board of directors activities include which of the following a. Develop, implement, and manage the organization's risk management and internal control frameworks b. Overseeing aspects of the employment of the management team including management remuneration, performance and succession planning. c. Recommend the strategic direction and translate the strategic plan into the operations of the business d. Developing financial and other reports that meet public, stakeholder and regulatory requirements

b. Overseeing aspects of the employment of the management team including management remuneration, performance and succession planning.

The CG Code is arranged as follows: a. Principles, Explanations, Recommendations b. Principles, Recommendations, Explanations c. Recommendations, Principles, Explanations d. Explanations, Recommendations, Principles

b. Principles, Recommendations, Explanations

"Transparency and full disclosure" principle advocates the following except a. Meeting the information needs of investment communities b. Solid foundations for management oversight c. Safeguards integrity in financial reporting d. Sound disclosure policies and practices

b. Solid foundations for management oversight

Statement 1: Business ethics make businessmen realize that they can employ double standards to the actions of other people and to their own actions. Statement 2: Business ethics is based on the personal values and standards of each person engaged in business. a. Both statements are true b. Statement 1 is false; Statement 2 true c. Statement 1 is true; Statement 2 is false d. Both statements are false

b. Statement 1 is false; Statement 2 true

Statement 1: Corruption is the misuse of entrusted power for public gain. Statement 2: Corruption is the abuse of private and public office for personal gain. a. Both statements are false b. Statement 1 is false; Statement 2 true c. Statement 1 is true; Statement 2 is false d. Both statements are true

b. Statement 1 is false; Statement 2 true

An independent director is expected to a. Asset management to keep performance objectives at the top of its agenda b. Apply expertise and skills in the corporations best interest c. Act as conduit between the board and the organization d. Respect the collective, cabinet nature of the board's decision

c. Act as conduit between the board and the organization

The following are the purposes of Corporate Governance, except: a. Protect the interests of major stakeholders b. Enhance board of directors' value c. All of the above d. Supplant board of directors

c. All of the above

The following are characteristics of Good Governance, except: a. Adaptable b. Democratic c. Ambivalent d. All of the above

c. Ambivalent

It refers to organizations considering and managing their impact on a variety of stakeholders a. Corporate Governance b. Corporate Standards c. Corporate Social Responsibility d. Corporate Profits

c. Corporate Social Responsibility

This refers merely to the way companies & their officers treat stakeholders with some disabilities such as minority shareholders, employees, foreign investors, as against the dominant players such as majority shareholders. It means impartiality or lack of bias a. Transparency b. Openness c. Fairness d. Independence

c. Fairness

A person who is independent of Management and the controlling shareholder, and is free from any business or other relationship which could, or could reasonably be perceived to, materially interfere with his exercise of independent judgment in carrying out his responsibilities as a director. a. Non-executive director b. Members c. Independent director d. Audit committee

c. Independent director

It is often practiced in selling situations where the product being sold is in such a shape or is packed in a manner that would make counting the product difficult or inconvenient. a. Short weighing b. Adulteration c. Short numbering d. Short measurements

c. Short numbering

Which is not included in the characteristics and values associated with ethical behavior? a. Honesty b. Integrity c. Transparency d. Respect for Others

c. Transparency

It is the practice of making false statements on the label of a product or making its container similar to a well-known product for the purpose of deceiving the customer as to the quality or quantity of the product. a. Caveat emptor b. Adulteration c. Deceptive Packaging d. Mislabeling

d. Mislabeling

Choose the correct term among the choices to match the definition: A transfer of resources, services or obligations between a reporting entity and a related party, regardless of whether a price is charged. a. Significant Influence b. Proprietary Right c. Stakeholders d. Non-Proprietary Right e. Non-Executive Director f. Enterprise Risk Management g. Related Parties h. Independent Director i. Management j. Related Party Transaction k. Executive Director l. Public Company m. Board of Directors n. Corporate Governance o. Internal Control

j. Related Party Transaction

Choose the correct term among the choices to match the definition: A process designed and effected by the entity's Board of Directors/Trustees, Senior Management, and all levels of personnel to provide reasonable assurance on the achievement of objectives through efficient and effective operations; reliable, complete and timely financial and management of corporate information; and compliance with applicable laws, regulations, and the organization's policies and procedures. a. Significant Influence b. Proprietary Right c. Stakeholders d. Non-Proprietary Right e. Non-Executive Director f. Enterprise Risk Management g. Related Parties h. Independent Director i. Management j. Related Party Transaction k. Executive Director l. Public Company m. Board of Directors n. Corporate Governance o. Internal Control

o. Internal Control

Statement 1: Corruption causes businesses to flee from the country because businessmen find it a constant threat to their progress. Statement 2: Corruption creates unfair competition and increases the cost of doing business. a. Both statements are true b. Statement 1 is false; Statement 2 true c. Both statements are false d. Statement 1 is true; Statement 2 is false

a. Both statements are true

Statement 1: External auditors audit the company's financial statements to ensure that the statements are free of material misstatements Statement 2: Internal auditors evaluate the efficiency of operations and test internal controls a. Both statements are true b. Only Statement 2 is true c. Both statements are false d. Only statement 1 is true

a. Both statements are true

Failure of the Board of Directors to attend board meetings regularly refers to which unethical practice? a. Negligence of Duty b. Interlocking Directorship c. Plain graft d. Insider Trading

a. Negligence of Duty

According to the Code of Good Governance for the Profession in the Philippines, specific principles of professional conduct include the following, except: a. Professional Behavior b. Solidarity and Teamwork c. Service to Others d. Professional Competence

a. Professional Behavior

Statement 1: It would have a positive social impact on its employees if they are paid fair living wages and benefits. Statement 2: A business has a social impact on society through the wages it pays to its employees, the materials that it buys from its suppliers, and the prices it charges its customers. a. Statement 1 is true; Statement 2 is false b. Both statements are false c. Statement 1 is false; Statement 2 true d. Both statements are true

a. Statement 1 is true; Statement 2 is false

Top management's commitment in the "Unified Code of Conduct for Business" included the following, except a. To institute training programs or business ethics covering all levels of the organization. b. To support strategy integrity practices and efforts and allocate sufficient resources for their implementation. c. To communicate within the company and the general public the company's position against bribery, corruption, and unethical business practice. d. To lead by example in conducting business with integrity.

a. To institute training programs or business ethics covering all levels of the organization.

Not interpreting agreements in an unreasonable technical or legalistic manner in order to rationalize non-compliance or create excuses and justification for breaking commitments, refers to which characteristic or value associated with ethical behavior? a. Trustworthiness b. Honesty c. Integrity d. Fairness and Openness

a. Trustworthiness

"Accountability" principle advocates the following except: a. Promote objective, ethical and responsible decision-making b. Lay solid foundation for management oversight c. Sound disclosure policies and practices d. Board clarifies its role and that of the management

c. Sound disclosure policies and practices

Statement 1: Governance is exercised only by the government of a country. Statement 2: Effective corporate governance includes both strategic and operational risk management a. Both statements are false b. Statement 1 is true; Statement 2 is false c. Statement 1 is false; Statement 2 is true d. Both statements are true

c. Statement 1 is false; Statement 2 is true

Statement 1: Transparency and accountability are synonymous. Statement 2: Responsiveness usually results to effectiveness and efficiency. a. Both statements are true b. Both statements are false c. Statement 1 is false; Statement 2 is true d. Statement 1 is true; Statement 2 is false

c. Statement 1 is false; Statement 2 is true

Statement 1: Professional Ethics is an area of corporate responsibility where businesses are legally bound and socially obligated to conduct business in an ethical manner. Statement 2: Business ethics serve as a standard or ideal upon which business conduct should be based. a. Both statements are false b. Both statements are true c. Statement 1 is false; Statement 2 true d. Statement 1 is true; Statement 2 is false

c. Statement 1 is false; Statement 2 true

The following are examples of unethical practices of employees except a. engagement in the same type of business as his employer disclosure of confidential company information to someone else for personal gain. b. disclosure of confidential company information to someone else for personal gain c. application for a loan from his employer to settle personal liabilities. d. acceptance of gifts from a customer in exchange for a favor that is detrimental to the interest of his employer

c. application for a loan from his employer to settle personal liabilities.

Interlocking directorship is usually committed by a. top executive officers b. middle-level managers c. members of the board of directors d. rank and file employees

c. members of the board of directors

Examples of direct misrepresentation about the product include the following except a. short numbering b. short measurement c. over persuasion d. Adulteration

c. over persuasion

Conflicts of interest among corporate governance participants are referred to as an: a. Alignment problem b. There are no conflicts of interest among corporate governance participants c. "Anything you can do, I can do better" problem d. Agency problem

d. Agency problem

Effective oversight functions of audit committees contribute to: a. Credible audit functions b. A reliable reporting process c. More effective corporate governance d. All of the above

d. All of the above

Providing oversight of the internal and external audit function, the process of preparing the annual financial statements and public reports on internal control are the responsibility of: a. Board of directors b. Chief financial officer c. Chief executive officer d. Audit committee of the board of directors

d. Audit committee of the board of directors

The rights of shareholders can be effectively upheld through the following measures except a. By encouraging active participation at general meetings. b. By designing and disclosing a communications strategy to promote effective communication with shareholders. c. By requiring the external auditor to attend the annual general meeting and to answer questions about the audit. d. By establishing an audit committee

d. By establishing an audit committee

SEC pursuant to its regulatory power under Section 179(d) of Republic Act No 11232 otherwise known as the Revised Corporation Code of the Philippines, resolved to adopt the a. Code of Corporate Governance for Publicly Listed Entities and Registered Issuers b. Code of Corporate Governance for Registered Issuers and Public Entities c. Code of Corporate Governance for Publicly Listed Companies d. Code of Corporate Governance for Public Companies and Registered Issuers

d. Code of Corporate Governance for Public Companies and Registered Issuers

The CG Code adopts the _____________ approach a. Checklist b. Conform or disclose c. Explanation d. Comply or explain

d. Comply or explain

Which is not one of the characteristics of Good Governance? a. Transparency b. Accountability c. Participation d. Corporate Control

d. Corporate Control

To safeguard integrity in financial reporting, the business firm should do the following except a. Request the external auditor to attend the annual general meeting b. Disclose the policy concerning trading in company securities by directors, officers and employees. c. Establish an audit committee d. Disclose the functions reserved to the board and those delegated to management

d. Disclose the functions reserved to the board and those delegated to management

A director who notifies the company of a possible investment opportunity instead of acting upon it himself is demonstrating the a. Duty of obedience b. Duty of fair disclosure c. Duty of care d. Duty of loyalty

d. Duty of loyalty

The following are objectives of Corporate Governance, except: a. Self-assessment b. Fair and equitable treatment of shareholders c. Transparency and full disclosure d. Increase minor shareholders' wealth

d. Increase minor shareholders' wealth

The following are the basic principles of Corporate Governance, except: a. Transparency b. Corporate Control c. Accountability d. Internal Control

d. Internal Control

The primary responsibilities of the board of directors include all but which of the following: a. Establish or approve strategic plans and decisions to achieve these goals b. Appoint senior executives to manage the company in accordance with the established strategies, plans, policies, and procedures c. Define the company's mission and goals d. Make managerial decisions that will increase the company's stock price

d. Make managerial decisions that will increase the company's stock price

Choose the correct term among the choices to match the definition: An interest, participation or privilege over a specific property of a corporation that allows the holder to use such property under certain terms and conditions. a. Significant Influence b. Proprietary Right c. Stakeholders d. Non-Proprietary Right e. Non-Executive Director f. Enterprise Risk Management g. Related Parties h. Independent Director i. Management j. Related Party Transaction k. Executive Director l. Public Company m. Board of Directors n. Corporate Governance o. Internal Control

d. Non-Proprietary Right

Audit committee activities and responsibilities include which of the following? a. Approving corporate strategy. b. Selecting the external audit firm. c. Reviewing management performance and determining compensation. d. None of the above.

d. None of the above.

Good governance requires that institutions and processes try to serve the needs of all stakeholders within a reasonable timeframe, which refers to which characteristic? a. Accountability b. Rule of Law c. Transparency d. Responsiveness

d. Responsiveness

The characteristic of good governance where fair legal framework are enforced impartially is a. Accountability b. Equity c. Participation d. Rule of Law

d. Rule of Law

Who is responsible for ensuring the accuracy, timeliness of public reporting of financial and other information for public companies? a. External auditors b. Board of Accountancy c. Shareholders d. Securities and exchange commission

d. Securities and exchange commission

Corporate governance enables firms to assess their behavior and actions before they are scrutinized by regulatory agencies, refer to which objective of corporate governance? a. Transparency and full disclosure b. Increase shareholders' wealth c. Fair and equitable treatment of shareholders d. Self-Assessment

d. Self-Assessment

Statement 1: The Constitution guarantees freedoms of speech and of expression, and in practice, these freedoms are consistently upheld. Statement 2: The media environment is largely privately owned and diverse, and the state generally exercises very little censorship. a. Statement 1 is true; Statement 2 is false b. Both statements are false c. Both statements are true d. Statement 1 is false; Statement 2 true

d. Statement 1 is false; Statement 2 true

In the "Unified Code of Conduct for Business" the logistics department commits to do the following, except a. Not to penalize employees for refusing to pay bribes or facilitation payments even if it results in failure to meet deadlines or revenue is lost. b. To pay correct duties and taxes based on transparent assessment of goods and services. c. Not to tolerate any breaches or violations of existing laws in exchange for undue advantage and unethical concessions or favors. d. To protect employees from retaliation when complaints are filed against them.

d. To protect employees from retaliation when complaints are filed against them.

This characteristic means that information is freely available and directly accessible to those who will be affected by such decisions and their enforcement. a. Rule of Law b. Accountability c. Responsiveness d. Transparency

d. Transparency

The following are examples of dishonest acts of an employee toward his employer except a. Bringing home office supplies for personal use. b. Overstating business trip expenses by submitting false receipts. c. Doing personal errands during office hours. d. Working overtime upon instruction of his supervisor.

d. Working overtime upon instruction of his supervisor.

Examples of indirect misrepresentation about the product include the following except a. passive deception b. over persuasion c. business ignorance d. deceptive packaging

d. deceptive packaging

Examples of indirect misrepresentation about the product include the following except a. caveat emptor b. deliberate withholding adverse information c. business ignorance d. false advertising

d. false advertising

Choose the correct term among the choices to match the definition: a director who has no executive responsibility and does not perform any work related to the day-to-day operations of the corporation. a. Significant Influence b. Proprietary Right c. Stakeholders d. Non-Proprietary Right e. Non-Executive Director f. Enterprise Risk Management g. Related Parties h. Independent Director i. Management j. Related Party Transaction k. Executive Director l. Public Company m. Board of Directors n. Corporate Governance o. Internal Control

e. Non-Executive Director

Choose the correct term among the choices to match the definition: a process, effected by an entity's Board of Directors, Management and other personnel, applied in strategy setting and across the enterprise that is designed to identify potential events that may affect the entity, manage risks to be within its risk appetite, and provide reasonable assurance regarding the achievement of entity objectives. a. Significant Influence b. Proprietary Right c. Stakeholders d. Non-Proprietary Right e. Non-Executive Director f. Enterprise Risk Management g. Related Parties h. Independent Director i. Management j. Related Party Transaction k. Executive Director l. Public Company m. Board of Directors n. Corporate Governance o. Internal Control

f. Enterprise Risk Management

Choose the correct term among the choices to match the definition: covers the covered entity's directors, officers, substantial shareholders and their spouses and relatives within the fourth civil degree of consanguinity or affinity, legitimate or common-law, and other persons if these persons have control, joint control or significant influence over the covered entity. a. Significant Influence b. Proprietary Right c. Stakeholders d. Non-Proprietary Right e. Non-Executive Director f. Enterprise Risk Management g. Related Parties h. Independent Director i. Management j. Related Party Transaction k. Executive Director l. Public Company m. Board of Directors n. Corporate Governance o. Internal Control

g. Related Parties

Choose the correct term among the choices to match the definition: a person who is independent of Management and the controlling shareholder, and is free from any business or other relationship which could, or could reasonably be perceived to, materially interfere with his exercise of independent judgment in carrying out his responsibilities as a director. a. Significant Influence b. Proprietary Right c. Stakeholders d. Non-Proprietary Right e. Non-Executive Director f. Enterprise Risk Management g. Related Parties h. Independent Director i. Management j. Related Party Transaction k. Executive Director l. Public Company m. Board of Directors n. Corporate Governance o. Internal Control

h. Independent Director

Choose the correct term among the choices to match the definition: a group of executives given the authority by the Board of Directors/ Board of Trustees to implement the policies it has laid down in the conduct of the business of the corporation a. Significant Influence b. Proprietary Right c. Stakeholders d. Non-Proprietary Right e. Non-Executive Director f. Enterprise Risk Management g. Related Parties h. Independent Director i. Management j. Related Party Transaction k. Executive Director l. Public Company m. Board of Directors n. Corporate Governance o. Internal Control

i. Management

The following are SEC recommendations in establishing a competent board, except. a. The Company should have a policy on the training of directors, including an orientation program for first-time directors and relevant annual continuing training for all directors. b. A director should notify the Board where he is an incumbent director before accepting a directorship in another company. c. The Board should have a policy on board diversity. d. The Board should be headed by a competent and qualified Chairperson.

b. A director should notify the Board where he is an incumbent director before accepting a directorship in another company.

This principle states that corporate reporting, risk management and internal control principles need established formal and transparent arrangements determined by the board. a. Effectiveness b. Accountability c. Leadership d. Remuneration

b. Accountability

Statement 1: ​Effective corporate governance is transparent, protects the rights of shareholders, and includes both strategic and operational risk management. Statement 2: ​​Effective corporate governance is concerned with both the long-term earning potential as well as actual short-term earnings and holds directors accountable for their stewardship of the business. a. Statement 1 is false; Statement 2 is true b. Both statements are true c. Statement 1 is true; Statement 2 is false d. Both statements are false

b. Both statements are true

An organization's management is most likely not accountable to: a. Creditors b. Competitors c. The public d. Shareholders e. Regulators

b. Competitors

To encourage enhanced performance by the board and management, it is recommended that the following should be adopted except a. A remuneration committee b. Establish policies on risks oversight and management c. Distinguish between non-executive director's remuneration from that of executives. d. Disclosure of the process for performance evaluation of the board. its committees, individual directors and executives.

b. Establish policies on risks oversight and management

Who performs audit of companies for compliance with company policies and laws, audits efficiency of operations and periodic evaluation and tests of controls? a. External auditors b. Internal auditors c. Commission on audit d. Chief accountant

b. Internal auditors

Choose the correct term among the choices to match the definition: an interest, participation or privilege in a corporation which gives the holder the right to use the facilities and to receive dividends or earnings an interest, participation or privilege in a corporation. a. Significant Influence b. Proprietary Right c. Stakeholders d. Non-Proprietary Right e. Non-Executive Director f. Enterprise Risk Management g. Related Parties h. Independent Director i. Management j. Related Party Transaction k. Executive Director l. Public Company m. Board of Directors n. Corporate Governance o. Internal Control

b. Proprietary Right

Statement 1: ​​The purpose of corporate governance is to facilitate effective, entrepreneurial, and prudent management that can deliver the ​​short-term success of the company. Statement 2: ​The fundamental aim of corporate governance is to enhance shareholders' value and protect the interests of other stakeholders by improving corporate performance and accountability. a. Both statements are true b. Statement 1 is false; Statement 2 is true c. Statement 1 is true; Statement 2 is false d. Both statements are false

b. Statement 1 is false; Statement 2 is true

Statement 1: The Philippines is the second most dangerous country in the world for journalists ​to operate in, as measured by the number of journalist deaths. Statement 2: The state is directly responsible for the violence, which can mostly be blamed on local strongmen and criminals and the weakness of the authorities. a. Both statements are false b. Statement 1 is true; Statement 2 is false c. Statement 1 is false; Statement 2 true d. Both statements are true

b. Statement 1 is true; Statement 2 is false

Among the commitments of the Finance and Accounting Section of an organization" is a. To communicate rules and guidelines or giving gifts, entertainment tokens of hospitality and contributes to / from public or private organizations b. To pay taxes in compliance with all laws. c. To have appropriate tools to receive, monitor and act on internal and external complaints of employees. d. To prohibit contracting a third party to bribe or commit corrupt practices on behalf of the company.

b. To pay taxes in compliance with all laws.

The following constitute unfair labor practices of an employer except a. to discriminate with regard to wages, hours of work b. to terminate the employment of employees found to have violated company policy or employment contract c. to violate a collective bargain or agreement d. to restrain employees to form a union

b. to terminate the employment of employees found to have violated company policy or employment contract

The SEC recommendation that the Board should be composed of a majority of non-executive directors who possess the necessary qualifications to effectively participate and help secure objective, independent judgment on corporate affairs and to carry out proper checks and balances, pertains to which of the following. a. Fostering commitment b. Establishing a competent board c. Reinforcing board independence d. Establishing board committees

c. Reinforcing board independence

Who is the major representative of stockholders to ensure that the organization is run according to the organization's charter and that there is proper accountability? a. Independent Directors b. Management c. Board of Directors d. Shareholders

c. Board of Directors

The CG Code is rooted in the same Corporate Governance principles provided in the Code of Corporate Governance for Publicly-Listed Companies consistent with the G20 OECD Principles of Corporate Governance. OECD stands for a. Organization for Environmental Crisis and Disaster b. Organization for Environmental Conservation and Development c. Organization for Economic Cooperation and Development d. Organization for Economic Control and Dependence

c. Organization for Economic Cooperation and Development

Which of the following is an example of how corruption can take place? a. A politician prioritizing investments to the region most in need rather than to his hometown b. Local officials allowing all citizens access to a new water pipe for free c. Public official embezzling funds for school renovation to build his private villa d. A purchasing manager conducting a closed-bidding in selecting suppliers for the company

c. Public official embezzling funds for school renovation to build his private villa

Choose the correct term among the choices to match the definition: A director who has executive responsibility of day-to-day operations of a part or the whole of the corporation. This principle states that corporate reporting, risk management and internal control principles need established formal and transparent arrangements determined by the board. a. Significant Influence b. Proprietary Right c. Stakeholders d. Non-Proprietary Right e. Non-Executive Director f. Enterprise Risk Management g. Related Parties h. Independent Director i. Management j. Related Party Transaction k. Executive Director l. Public Company m. Board of Directors n. Corporate Governance o. Internal Control

k. Executive Director

Choose the correct term among the choices to match the definition: a company with assets of at least Fifty Million Pesos (Php50,000,000.00) and having two hundred (200) or more shareholders holding at least one hundred (100) shares each of equity securities. a. Significant Influence b. Proprietary Right c. Stakeholders d. Non-Proprietary Right e. Non-Executive Director f. Enterprise Risk Management g. Related Parties h. Independent Director i. Management j. Related Party Transaction k. Executive Director l. Public Company m. Board of Directors n. Corporate Governance o. Internal Control

l. Public Company

Choose the correct term among the choices to match the definition: the governing body elected by the shareholders/members that exercises the corporate powers of a corporation, conducts all its business and controls its properties a. Significant Influence b. Proprietary Right c. Stakeholders d. Non-Proprietary Right e. Non-Executive Director f. Enterprise Risk Management g. Related Parties h. Independent Director i. Management j. Related Party Transaction k. Executive Director l. Public Company m. Board of Directors n. Corporate Governance o. Internal Control

m. Board of Directors

Choose the correct term among the choices to match the definition: the system of stewardship and control to guide organizations in fulfilling their long-term economic, moral, legal and social obligations towards their shareholders/members and other stakeholders. a. Significant Influence b. Proprietary Right c. Stakeholders d. Non-Proprietary Right e. Non-Executive Director f. Enterprise Risk Management g. Related Parties h. Independent Director i. Management j. Related Party Transaction k. Executive Director l. Public Company m. Board of Directors n. Corporate Governance o. Internal Control

n. Corporate Governance