1.What form must the company file with the SEC when a material error is discovered in previous published financial statements and within how many days must the form be filed once the error is discovered?

Select one:

a. 8-K; 10 days

b. 8-E; 10 days

c. 8-E; 4 days

d. 8-K; 4 days

2.Which of the following is NOT a way in which executives can achieve diversification of their portfolios?

Select one:

a. Selling company shares outright

b. Holding onto all shares

c. Hedging a portion of the ownership position

d. Pledging a portion of shares as collateral for a loan

3.Compensation consultants are more likely to:

Select one:

a. Provide a package that over compensates CEOs

b. Provide a package that under compensates CEOs

c. Evidence is unclear

d. Provide a fair compensation package for CEOs

4.Which of the following is an example of restrictions placed on compensation packages?

Select one:

a. B and C

b. Stock Ownership Guidelines

c. Perquisites

d. A and B

e. Clawbacks

5.The factor critical in providing credible information is

Select one:

a. Predictive Ability

b. Objectivity

c. Independence

d. All of the above