Business Ethics and Governance

51. Which of the following is not a social sustainability issue?

1. Child labour.
2. Biodiversity.
3. Ethical trading.
4. Supply chain management.

52. Which of the following is not an agency cost?

1. Residual loss.
2. Bonding costs.
3. Congruency loss.
4. Monitoring costs.

53. Which of the following is not an example of a duty or responsibility of directors?

1. Having a conflict of interest but declaring it to the board of directors.
2. Continuing to transact with creditors when the company's liabilities exceed the assets.
3. Researching and asking questions relating to the company's operations so as to be informed.
4. Choosing to personally carry out instructions from the board rather than requesting subordinates to do so.

54. Which of the following is not an impact that underpins corporate social responsibility?

1. Social.
2. Political.
3. Economic.
4. Environmental.

55. Which of the following is not likely to have a direct impact on environmental sustainability?

1. Laws prohibiting fracking.
2. The introduction of new carbon tax.
3. A repeat of the global financial crisis.
4. Restrictions on greenhouse gas emissions.

56. Which of the following is not one of the elements of financial reporting?

1. Assets.
2. Liabilities.
3. Expenses.
4. Cash flows.

57. Which of the following is NOT one of the primary elements of a strong organizational compliance program?

1. A written code of conduct
2. An ethics officer
3. Significant financial expenditures
4. A formal ethics training program

58. Which of the following is not one the underlying principles of the corporate governance Combined Code of Practice?

1. Openness
2. Integrity
3. Accountability
4. acceptability

59. Which of the following is not part of the definition of an asset?

1. Control of a resource.
2. Resulting from a past event.
3. Inflow of economic benefits.
4. During the accounting period.