1. If vou were a CEO interested in addressing the needs of many stakeholders in order to maintain a healthy economy, what standards and actions should you establish for your business? a.) Maximize profits for shareholders, minimize wage costs, and increase staffing. b.)Emphasize that you alone can steer the company towards more ethical practices. c.) Buy up public stock so that the company can go private again and run however it wants to. d.)Create value for customers, invest in employees, embrace sustainability.
2. Sunny Day Groceries and Goods is a grocery store owned and operated by its employees. What kind of governance structure does this business likely have?a.) benefit corporation

b.) Certified B Corp

c.)ESOP

d.) cooperative

3.

While S corporations, C corporations, and public corporations all have shareholders, the main difference with public corporations is that_______. a.)their stock is sold on public exchanges

b.)they are exempt from capital gains taxes c.) public corporations have fewer stockholders d.)they don't need to appoint a board of directors

4.Boards that decide to remove a CEO from the board chair position often do so after________. a.)government intervention

b.)major company success

c.)industry disruptions.

d.)major company failure

1. Corporate governance structures are expected to maintain high levels of ethics and integrity as evidenced by the transparency, accountability, and honesty of their board members actions. True or False. 5.Corporate governance allows a business to achieve its________ in the long term.

a.) profit margins

b.) consumer outreach

c.) growth projections

d.) corporate goals

1. A benefit corporation is a non-profit group who operates for public benefit and promotes business interests in the policy sphere. True or False 7. A golden parachute refers to excessive _______ for top executives.

a.) performance bonuses

b.) severance packages

c.) benefits

d.) government regulations 8.What is one action a corporate board should take if they want to avoid government regulation of their industry?

a.) seek out a government exemption

b.) communicate honestly with shareholders

c.) partner with other businesses to lobby against the regulations

d.) minimize public information about the business

10.

Fiduciary duty is the legal requirement of executives to_______ as much as possible for their companies.

a.) act honestly and generate revenue

b.) avoid excessive overhead

c.) maximize profits

d.) maintain company reputation 11.Under the broad conception of social responsibility, activists argued that businesses must give greater weight to _________interests.

a.) shareholder

b.) public

c.) stakeholder

d.) industry 12.

A(n) _________provides full-time employees with an equity stake in the company that often grows over time.

a.) Cooperative

b.) Benefit Corporation

c.) Employee Stock Ownership Plan (ESOP)

d.) Certified B Corp. 13.

Board independence is not possible under what circumstance?

a.) benefit corporation

b.) cooperative structure

c.) heavy government scrutiny

d.) CEO is also board chair

14.

Under the Sarbanes-Oxley Act of 2002, the _________ was created to regulate the auditing profession which had previously been self-regulating.

a.) Public Company Accounting Oversight Board

b.) Audit Independence Committee

c.) Securities and Exchange Committee

d.) Consumer Protection Office