Question

"All of the following are major objectives of corporate governance except:

a) Mitigation of conflicts.
b) Assurance of efficient use of assets.
c) Clearly defined manager and director governance responsibilities to stakeholders.
d) Maximizing quarterly profits.

Answer 1

The major objectives of corporate governance include mitigation of conflicts, assurance of efficient use of assets, and clearly defined manager and director governance responsibilities to stakeholders. Maximizing quarterly profits is not considered a major objective.

Step-by-step explanation:

The major objectives of corporate governance include:

1. Mitigation of conflicts: Corporate governance aims to address conflicts of interest among stakeholders, ensuring that the decision-making process is fair and transparent.
2. Assurance of efficient use of assets: Corporate governance is responsible for ensuring that the company's resources and assets are utilized effectively and in the best interests of the shareholders.
3. Clearly defined manager and director governance responsibilities to stakeholders: Corporate governance aims to establish clear roles and responsibilities for managers and directors, ensuring accountability and transparency.

The objective of maximizing quarterly profits is not considered a major objective of corporate governance. While profitability is important for the success of a business, corporate governance focuses on long-term sustainability and the overall well-being of the company and its stakeholders.