Which of the following are among the provisions of the Dodd-Frank Wall Street Reform and Consumer Protection Act in relation to shareholder control of pay for top executives?
A) The act provides that shareholders of all privately held as well as publicly traded companies are entitled to vote and set executive compensation on a yearly basis.
B) The act provides that shareholders of public companies have an advisory vote on company payment practices for top executives and that public companies must hold a shareholder advisory vote on golden parachutes for executives.
C) The act provides that shareholders of all privately held as well as publicly traded companies are entitled to vote and set executive compensation on a yearly basis and also that the shareholders must specifically approve any golden parachute provisions for executives.
D) Based on the belief that ill-informed shareholder input negatively affected nationwide corporate performance,the act provides that shareholders need not be involved in setting executive compensation.

Question

Quizplus · Accepted Answer

The Dodd-Frank Wall Street Reform and Consumer Protection Act provides that shareholders of public companies have an advisory vote on company payment practices for top executives and that public companies must hold a shareholder advisory vote on golden parachutes for executives. This means that shareholders have a say in executive compensation, but it is not mandatory and does not apply to privately held companies.

Which of the Following Are Among the Provisions of the Dodd-Frank