Chen Michiba is an Executive Vice President with the Sakai Corporation. Michiba is concerned that Sakai does not have an effective corporate governance system in place and drafts a memo to the companys senior management team detailing a potential structure for an improved system. Michiba starts his memo by listing the two key objectives of corporate governance: Objective 1: Establish clear lines of responsibility and a system of accountability and performance measurement in all phases of a companys operations. Objective 2: Ensure that all legal and regulatory requirements are met and complied with fully and in a timely fashion. Michiba is: A) incorrect with respect to both Objectives. B) correct with respect to Objective 1, but incorrect with respect to Objective 2. C) incorrect with respect to Objective 1, but correct with respect to Objective 2. D) correct with respect to both Objectives.
I think they are both incorrect…they sound good but I don’t think they are the two main objectives. Something like conflicts of interest and something else… A
A ditto, eliminate conflict of interest and use co. assets to best interest of shareholders
Yeah that has to be A, as Pujols explained above ^^
i don’t like “performance measurement” in 1. i want to say legal/regulatory isn’t part of corp gov, could be wrong though. i’ll take A. whenever in doubt on ethical/corp gov questions, i lean towards incorrect anyways.
A it is!! Easy question to start with.
A… remember corp gov has to do w/ conflict of interest