If a company were to have only insider directors and related outsider directors, which would leave out the independence of outsider directors, what could the consequences be?
a. A more streamlined decision-making process from insider directors who know the company and industry intimately. This, in turn, will prove to be an ideal situation for stockholders
b. A larger focus on stockholders, as insider directors and executives focus on only stockholders' interests
c. Stockholders' interests could be ignored due to executives' desire for personal financial gain without regard for all shareholders
d. Increase of profits from not having to pay an outsider director's salary
c. Stockholders' interests could be ignored due to executives' desire for personal financial gain without regard for all shareholders
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Which statement is not correct?
a. Auditors gather evidence using tests of controls and substantive tests. b. The most important element in determining the level of materiality is the mathematical formula. c. Auditors express an opinion in their audit report. d. Auditors compare evidence to established criteria.
________ is the process of determining if a suspect is to become a prospect.
A. Scheduling B. Networking C. Characterizing D. Routing E. Qualifying
Raj Reddy, Vice President of Human Resources for Grandy Supply Corporation, is finding that competition for human talent is becoming fiercer. He has implemented creative solutions to leverage diversity of the labor force to the benefit of his organization. For example, Raj has found that ________ allows him to supplement his available staff, particularly during times of work overload.
A. decreasing time off for lunch and other breaks B. slowing down production C. hiring illegal immigrants D. turning down new work orders E. hiring older workers on a part-time basis
A flexible budget is prepared to represent various levels of sales volume
Indicate whether the statement is true or false