QPD Corporation discovered financial information about its prime competitor which it used to its advantage. QPD did not obtain the information from any illegal source or through any illegal means. As discussed by the authors, which of the following disadvantages of having a corporate form of business is responsible for QPD's knowledge of the details of its competitor's financial situation?
A. Conflict within the corporation giving pressure to increase sales revenue
B. Government regulation demands necessitating increased paperwork
C. Lack of secrecy requiring the reporting of specific corporate activities
D. Requirements for specialized management cause competitors to employ individuals who have worked for competitors
Answer: C
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Which of the following guidelines is not a presentation that pro forma financial information should adhere to?
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There are many factors to consider when leaders choose a decision-making style. The most obvious consideration is the
A. the style of decision-making. B. number of people involved in decision making. C. number of opinions obtained for making the decision. D. quality of the resulting decision. E. the number of different ideas generated during the process.
Nate is a recent graduate who states that he has interned at a major accounting firm so that his value as a candidate for employment increases. A start-up recruits Nate based on his stated credentials without verifying them. Two days into the job, Nate's team lead realizes that Nate does not know much of what he claimed to know during the interview. This scenario best exemplifies
A. corporate governance. B. moral hazard. C. shared value creation. D. adverse selection.