Risk Management Exam

 HAAGSE HOGESCHOOLMarketing & Commerce: IBMS  |

  EXAM  |

COURSE |  IBMS |

EXAM SUBJECT (ref. to EXAM schedule) |  Risk Management |

Course Year (1st, 2nd, 3rd, 4th year) |  2nd |

Week number |  23/24 |

Examination date |  17 June 2009 |

Time | |

Number of pages (Total including header) |  8 |

Allowed aids | Calculator |

Lecturer/Examiner |  Dr Peter van Hengel |

Total number of questions 25 total points 50 (2 points each question correct) |

Open Question none |

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REMARKS:

STUDENTS MUST RETURN THE EXAM PAPER TO THE INVIGILATOR.

WRITE DOWN ALL YOUR ANSWERS ON THE ANSWER SHEETS.

SO, ALSO THE ANSWERS TO MULTIPLE CHOICE QUESTIONS.

THE STUDENT IS ALLOWED TO USE A GRAPHIC / FINANCIAL CALCULATOR DURING THE EXAM.

BUT ONLY THE USE OF STANDARD FUNCTIONS IS PERMITTED.

THE INPUT OF FORMULAS AND / OR TEXT IN THE MEMORY IS STRICTLY FORBIDDEN.

Start Test

MC questions

Question 1:

One of the specific areas of investor disquiet emanated from the problem of agency. The function of a board in a listed company is to take responsibility for managing the company’s business on behalf of its members or shareholders. Separation between membership and management has many advantages except:

a) Decision making can be entrusted to those with the necessary skills and capacities leaving the members to enjoy the benefits of their association with the organization

b) Facilitates efficient aggregation and use of capital, by enabling the processors of capital to invest in enterprise without requiring them to become involved of its operation

c) Pursuit of short-term share growth, where sustained investment in the company’s asset base might or may not produce long-term benefits for shareholders

d) Allows responsibility for the strategic direction and control of business to be delegated to professional managers who (it is assumed) possess the required entrepreneurial skills...