Why should I choose AnalystNotes?
Simply put: AnalystNotes offers the best value and the best product available to help you pass your exams.
Basic Question 6 of 8
A board member will not be considered independent if ______
II. he used to be the national sales manager for the company but quit before he was elected a board member.
III. his wife works for an accounting firm which is the auditor for the company.
I. his daughter works for the company as a secretary.
II. he used to be the national sales manager for the company but quit before he was elected a board member.
III. his wife works for an accounting firm which is the auditor for the company.
User Contributed Comments 7
| User | Comment |
|---|---|
| magicchip | Talk of overkill. |
| boddunah | ha ha ha ha |
| jpducros | What about if answer I was : His daughter works for the company as a carpet cleaner. Would that create also a material relationship ? |
| bani007 | Still would not be independent because he would try to promote his daughter |
| jayj001 | some power-wielding secretary |
| gulfa99 | way to go..from a cleaner to a ceo :) |
| schweitzdm | Rather funny. But a very good question jpducros, thanks for posing it. |
Your review questions and global ranking system were so helpful.
Lina
Learning Outcome Statements
describe potential risks of poor corporate governance and stakeholder management and benefits of effective corporate governance and stakeholder management
CFA® 2024 Level I Curriculum, Volume 2, Module 3.