Reference no: EM132640617

Problem 1: Which of the following statements best describes a good system of corporate governance?

Option 1: Outside members of the board (non-management) do not interfere with the protection of investors from greedy, misguided, or incompetent management

Option 2: The organization's internal auditors rely on the independence, knowledge, and determination of external auditors to protect investors when management acts inappropriately

Option 3: The company has never been charged or convicted of improper or circuitous steps to avoid regulatory scrutiny

Option 4: Appropriate checks and balances exist among senior executives to snuff out corporate misdeeds