Two areas in which corporate governance is being reformed are the role of boards of directors and ________.
A) executive bonus systems
B) financial reporting
C) reports to stockholders
D) reporting to government agencies

Question

Quizplus · Accepted Answer

Financial reporting is an area in which corporate governance is being reformed. There is an increased emphasis on transparency and accuracy in financial reporting to prevent scandals like Enron and WorldCom from happening again.

Note: While executive bonus systems and reports to stockholders may also be areas of focus for corporate governance reform, they are not mentioned in the question as options to choose from. Reporting to government agencies is not necessarily an area of corporate governance reform, but rather a requirement for compliance with regulations.

Two Areas in Which Corporate Governance Is Being Reformed Are