which of the following is not a function of board committees course hero

What is the role of a board committee?

Board committees normally function independently from each other and are provided with sufficient authority, resources, and assigned responsibilities in assisting the entire board. Provide an overview of the functions of board committees. Understand the roles and responsibilities of board committees.

What is the role of acommittee member?

Committee members address relevant issues and make recommendations to the entire board for final approval. Board committees normally function independently from each other and are provided with sufficient authority, resources, and assigned responsibilities in assisting the entire board. Provide an overview of the functions of board committees.

How do boards of directors perform their advisory and oversight functions?

Boards of directors perform their advisory and oversight function through well-structured, planned, and assigned committees to take advantage of the expertise of all the directors. Board committee formations and assignments depend on the size of the company, its board, and assumed responsibilities.

What is the role of the Board of directors in corporate governance?

INTRODUCTION. The oversight function of corporate governance is performed by the company's board of directors and its designated committees. Boards of directors perform their advisory and oversight function through well-structured, planned, and assigned committees to take advantage of the expertise of all the directors.

What is the purpose of the audit committee?

B. The audit committee reviews the company's financial reports.

Who elects directors?

A. Shareholders elect the directors from a list of candidates.

What are the two types of investors that own shares of stock in U.S. corporations?

The two main types of investors that own shares of stock in U.S. corporations are individuals and institutions.

Who has the right to inspect a company's books?

A corporation's shareholders have a right to inspect the company's books for any reason.

What is the role of the board of directors?

The board of directors oversights company operations and serves as the link between its shareholders and managers. It has the ultimate responsibility of ensuring that the company adopts proper corporate governance principles and complies with all applicable laws and regulations.

What is the purpose of the Governance Committee?

The Governance Committee helps to ensure that the board composition is balanced and aligned to the company’s governance principles.

What is investment committee?

Investment Committee: the investment committee reviews material investment opportunities such as expansion plans or acquisitions proposed by management and considers their viability.

What is the role of an audit committee?

Audit Committee: the audit committee is responsible for recommending the appointment of an independent external auditor and proposing the auditor’s remuneration. The audit committee also monitors the company’s financial reporting process , including the application of accounting policies. It also presents an annual audit plan to the board and monitors its implementation by the internal audit function which it supervises;

What is duty of care?

Duty of care and duty of loyalty are two well-established elements of directors’ responsibilities. The Organization for Economic Co-operation and Development (OECD) Principles of Corporate Governance indicate that duty of care “requires board members to act on a fully informed basis, in good faith, with due diligence and care”. In the same breath, the duty of loyalty “is the duty of the board member to act in the interest of the company and shareholders.”

What is a one tier board?

Boards with one-tier structures comprise a mix of executive and non-executive directors. The executive directors are employed by the company and are usually members of senior management, while the non-executive directors are external to the company and bring objectivity to the decision-making process. Independent directors are non-executive directors who do not have a material relationship with the company concerning employment, ownership, or remuneration.

Is the supervisory board independent of the management board?

In boards with two-tier structures, the supervisory and management boards are independent of each other. The chairperson of the supervisory board is typically external to the company while the Chief Executive Officer (CEO) usually chairs the management board.

What is a committee member?

Committee members address relevant issues and make recommendations to the entire board for final approval. Board committees normally function independently from each other and are provided with sufficient authority, resources, and assigned responsibilities in assisting the entire board.

What is corporate governance?

The oversight function of corporate governance is performed by the company's board of directors and its designated committees. Boards of directors perform their advisory and oversight function through well-structured, planned, and assigned committees to take advantage of the expertise of all the directors. Board committee formations and assignments depend on the size of the company, its board, and assumed responsibilities. Committee members address relevant issues and make recommendations to the entire board for final approval. Board committees normally function independently from each other and are provided with sufficient authority, resources, and assigned responsibilities in assisting the entire board.

Benefits of Establishing Board Committees

Certain board issues are of such a complex nature that they demand substantially more time than a board can commit to during the course of one or two board meetings. Boards can establish committees for nearly any need that they have to maximize their efficiency .

The Role of the Committee Charter

The committee charter outlines the specific responsibilities and expectations of the committee. The charter typically also defines the committee's limits of authority and any identified timeframes.

Who Serves on Board Committees?

The board chair for a committee doesn't necessarily need to have expertise regarding the issue that the committee is charged with addressing. However, board chairs should have a good understanding of the decision-making process. Board chairs need to be good facilitators who are capable of keeping discussions on track and moving.

How Software Solutions Assist Board Committees

Technology has helped boards increase their efficiency with the introduction of board portals. Board portals and other software solutions are equally as helpful for the board committees that do the bulk of the boards' legwork.