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Corporate Governance And Ethics(Buss 426) Question Paper

Corporate Governance And Ethics(Buss 426) 

Course:Business Administration

Institution: Kenya Methodist University question papers

Exam Year:2012



TIME: 2 HOURS

INSTRUCTIONS
Answer question one and any other two questions.
Question One
Good corporate governance dictates that the organization is governed in a manner that maximize shareholder value and in the best interest of the society;
Explain the key pillars of good corporate government by use of clear illustrations.
(10 Marks)

What are the benefits of good corporate governance in an organization?
(10 Marks)

Explain the key factors necessary for effective social accounting.
(10 Marks)

Question Two
Using the Mendelow model of stakeholders mapping, classify stakeholders of an organization of your choice and show how managers of such an organization can manage each of these stakeholder groups. (20 Marks)

Question Three
There are different relationship that exists between the company and its stakeholders. Though most of such relationships are considered antagonistic they do not necessarily have to be. Explain with clear illustrations the main types of such relationships between organizations and stakeholders. (20 Marks)

Question Four
The issues of corporate governance and disclosure are closely intertwined as disclosure is the means by which governance is communicated leading to stakeholders’ santiny and activism;
Explain the main motivation associated with voluntary corporate disclosure.
(10 Marks)

Explain the concept of conflict of interest among directors and highlight the common areas of possible conflict of interest.
(10 Marks)

Question Five
Within an organization there are a number of internal parties involved in corporate governance referred to as internal corporate governance stakeholders. Identify and briefly explain the role of any six key internal corporate governance stakeholders.
(12 Marks)

Explain the relationship between agency theory and corporate governance.
(8 Marks)






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