Bpp learning Media is an acca approved Content Provider

3 
Audit committees are generally staffed by executive directors. 
True 
False 
4
Which of the following is a nomination committee responsible for? 
A 
Review of financial statements 
C 
Recommending potential board members 
B 
Review of internal control 
5 
Which two of the following are symptoms of poor corporate governance? 
A 
Lack of board involvement 
B 
Bonuses for directors 
C 
The finance director also performing the role of company secretary 
D Inadequate 
supervision 
6
What is 'the stakeholder view'? 
7
A strategy for social responsibility which involves allowing a situation to continue unresolved until the 
public finds out about it is a: 
A Proactive 
strategy 
C Defence 
strategy 
B 
Reactive strategy 
D 
Accommodation strategy 
QUICK QUIZ 
BPP Tutor Toolkit Copy

---

PART B: BUSINESS ORGANISATION STRUCTURE, FUNCTIONS AND GOVERNANCE 
 
196
 
1 
The management and reduction of risk is fundamental in all definitions of good governance. 
2 
True
False
Splitting the roles of chair and chief executive 

Appointing a majority of executive directors on the board 

Governance principles suggest that there should be a balance between executive and non-executive 
directors. 
3 
False. They should be staffed by non-executive directors (excluding the chair). 
4 
C 
The audit committee would be responsible for A and B. 
5 
A 
Lack of board involvement
D 
Inadequate supervision 
6 
This view is that many groups have a stake in what the organisation does.