1. What are the theories that have been used to explain sustainability reporting practices? a) Stakeholder theory and legitimacy theory. b) Legitimacy theory and big bang theory. c) Stakeholders theory and cognitive theory. d) Cognitive theory and theory of moral development. 2. What does the stakeholder theory posit? a) Environmental disclosures are made in response to the stakeholder demand for environmental and social information. b) Sustainability reporting is a means to deal with the firm's exposure to political, economic and social pressure to legitimize its performance. Environmental disclosures are made in response to political, economic and social pressure to legitimize the firm's performance. d) It explains the cognitive activity of human behavior. c) 3. What does the legitimacy theory posit? a) Environmental disclosures are made in response to the stakeholder demand for environmental and social information. b) What is legal to do and how to behave for a firm. c) Sustainability reporting and environmental disclosures are made in response to political, economic and social pressure to legitimize the firm's performance. d) It explains the cognitive activity of human behavior