One of the duties of a board of directors is to protect the interests of stakeholders. Which of the following is an example of protecting such interests?
A) Back dating options for executives
B) Deceptive business practices
C) Off balance sheet financing
D) Transparent financial reporting

Question

Quizplus · Accepted Answer

Transparent financial reporting is an example of protecting the interests of stakeholders because it allows them to accurately assess the financial health of the company and make informed decisions regarding their investments or involvement with the company. Options backdating for executives, deceptive business practices, and off balance sheet financing all compromise the interests of stakeholders by misleading them or artificially inflating the value of the company.

One of the Duties of a Board of Directors Is