1. Which statement is true about private banking? B.

Managerial Opportunism
checked C. Trust
A. It is used for confidential services to D. Power Supremacy vs. Technical Expertise
international elites is believed to be worth as
much as $10 trillion worldwide. 7. What agency issue where in shareholders have more
B. An estimated 90% of loans made by trust than doubts to the agents? C
commercial banks during the 1980s never A. Diversification vs Dividends
reached their destined countries, remaining B. Managerial Opportunism
instead in US bank accounts C. Trust
C. Has its origins in the debt crisis and is a major D. Power Supremacy vs. Technical Expertise:
reason for the continued indebtedness of many
poor countries 8. Which statement supports Investment bankers? D
D. All of the above A. It is an individual or entity which acts as an
agent for corporation issuing securities
2. Which is the correct role of Management Board B. The agent responsible for finding buyers for
"VORSTAND” di sure these securities for sale
A. Responsible for daily management of the C. They bus primary issue from corporations and
company arranges immediate disposal of these securities
B. Responsible for appointing the management to the investors in public
board D. All of the above
C. Responsible for appointing members to the
supervisory board 9. Which statement supports about agency problem in
D. All of the above governance? C
A. Occurs when the interest of stockholders, the
3. Which is the correct role of Employees/labor Union board of directors, and/or the management of
& Shareholders D the company are not perfectly aligned.
A. Responsible for daily management of the B. It is a relationship that came into being
company occasioned by the existence of one or more
B. Responsible for appointing the management individual
board C. To carry out some service and then entrust
C. Responsible for appointing members to the decision making rights to the agents
supervisory board D. All of the above
D. All of the above
10. All are benefits of Proxy Voting, except C
4. All are factors to consider in infrastructure, except? A. Routine Decisions
A. Availability of sites and premises C B. Governance
B. Environmental regulations and procedures C. Issues on Anti takeover
C. Low cost and availability of utilities such D. Trust
telecommunications, energy, and water
D. Identify critical shortages of skilled manpower 11. What does proxy voting Implement in corporate
settings? C
5. If are factors considered by investors in pre A. Proxy voting's use is normally limited to voting
investment, except? D at the annual meeting for directors
A. Incidence of corruption B. The proposed amendments and changes are
B. Possibilities of terrorism summarized in the memorandum circular sent
C. Degree of nationalism to shareholders before annual shareholder's
D. Set target for human resource development meeting
C. Voting will be based on shareholdings of each
6. What issue occurs wherein shareholders return will shareholder shown in the stock.
not be maximized to the fullest because of unrelated D. All of the above
diversification and growth which leads to increased
compensation for managers? C 12. The Norwegian mining company, MINDEX, that
A. Diversification vs Dividends wants to carry out a nickel and cobalt strip mining on
the Philippine island of Mindoro. The local population
believes the mine will seriously damage the 17. It refers to listing of equity shares of a than one
environment and ruin their communities. MNDEX has stock exchange in different countries company in C
responded by attempting to buy off local leaders. This A. Cross Listing
is an example of what corruption in international B. Final listing
business? C C. Pre listing
A. Increasing Debt D. Horizontal lating
B. Benefiting The Company, Not the Country
C. Destroying the Environment and Getting 18. What is the purpose of the international Chamber
around Regulations of Commerce? C
D . Bypassing Local Democratic Processes A. It is considered as the voice of the world
business championing the global economy as a
13. A report into logging in Papua New Guinea in the force for economic growth, job creation and
1980s reported that companies were "roaming the prosperity.
countryside with the self assurance of robber barons: B. Is to inspire and promote effective standards of
bribing politicians and leaders, creating social corporate governance to advance efficient
disharmony and ignoring the laws in order to rip out and markets and economies world-wide
export the last remnants of timber". This is an example C. An institution whose mission is to help its
of what corruption in international business C developing member countries reduce poverty
A. Increasing Debt and improve the quality
B. Benefiting The Company, Not the Country D. All of the above
C. Destroying the Environment and Getting
around 19. What is the purpose of Asian development Bank?
D. Regulations Bypassing Local Democratic C
Processes A. It is considered as the voice of the world
business championing the global economy as a
14. This investor can be described as organizations that force for economic growth, job creation and
buy and sell securities in large volume of share prosperity.
quantities or amounts that made them qualify B. It is to inspire and promote effective standards
sometimes for preferential treatment and lower of corporate governance to advance efficient
commission cuts. D markets and economies world-wide
A. Angel Investors C. An institution whose mission is to help its
B. Financial Investors developing member countries reduce poverty
C. Institutional Investors and improve the quality
D. Corporate Investors D. All of the above

15. Which type of institutional Investors where it has its 20 What is the purpose of international Corporate
own investment approach that determines the category Governance Network? C
of investments and the methods of investment it A. It is considered as the voice of the world
embarks on? D business championing the global economy as a
A. Hedge Fund force for economic growth, job creation and
B. Investment banking prosperity.
C. Mutual Fund B. It is to inspire and promote effective standards
D. Pension fund of corporate governance to advance efficient
markets and economies world-wide
16. Which type of institutional Investors that refers to a C. An institution whose mission is to help its
financial institution that helps out corporations and developing member countries reduce poverty
governments in raising capital investment it embarks and improve the quality
on? C D. All of the above
A. Hedge Fund
B. Investment banking 21. It is the global organization for the accountancy
C. Mutual Fund profession.C
D. Pension fund A. International Federation of Accountants
 B. International group of accountants C. Products claiming to be CFC-free even though
C. Global Federation of Accountants CFCs were Banned 20 years ago
D. None of the above D. None of the above

22. Which statement is not true about CSR? C 28. What type of greenwashing sins when candies,
A. CSR is not about philanthropy or charitable drinks beverages, and other sweets with "no sugar
work Label C
B. It is about how companies take responsibility A. Sin of No Proof
for their actions in the world B. Sin of Vagueness
C. Enterprises are intent to strike balance C. Sin of Hidden Trade off
between economic and social goals D. Sin of Irrelevance
D. None of the above 20. What type of greenwashing sins when shampoos
claiming out with no verifiable certification to be
23. What all company which was severely criticized "certified organic" C
for knowingly using forced labor to construct pipeline A. Sin of No Proof
in Burna? D B. Sin of Vagueness
A. Unocal C. Sin of Hidden Trade off
B. Saudi Aramco D. Sas of Irrelevance
C. Exxon Mobil
D. Total energies 30. What type of greenwashing when products
claiming to be CFC-free even though CFCs were
24. Environmental awareness and social practices like banned 20 years ago C
best records for the recruitment, training and A. Sin of No Proof
promotion of women and family friendly practices is B. Sin of Vagueness
an example of what strategy? C C. Sin of Hidden Trade off
A. SCARE-OFF FROM Strategy D. Sin of irrelevance
B. Impact Mitigation
C. Whoever is the best 31. What type of greenwashing sins when products
D. Main or Derivative connections claiming to be 100% natural when many naturally-
occurring substances are hazardous like arsenic and
25. The strategy requires investors to decide whether o formaldehyde C
they are concerned if an investment has a secondary A. Sin of No Proof
Involvement with a social problem. C B. Sin of Vagueness
A. "SCARE-OFF FROM" Strategy C. Sin of Hidden Trade off
B. Impact Mitigation D. Sin of Irrelevance
C. Whoever is the best
D. Main or Derivative connections 32. Which statement supports CSR? C
A. the short-term vow by business to perform
26. The strategy is considered as the most rigid way within the bounds of ethics
screening of investments. C B. A company's positive involvement on society
A. "SCARE-OFF FROM Strategy and the environment through its operations,
B. Impact Mitigation products, or services and through its relations
C. Whoever is the best with key holders
D. Main or Derivative connections C. The great economist and philosopher un smith
articulated this economic model of business
27. Which statement is correct about Sin of fibbing? C D. All of the above
A. Products falsely claim to be certified by an
internationally recognized environmental 33. What is the meaning of CS? C
standard like Ecologo, Energy Star or Green A. Corporate Social Responsibility
Seal B. Corporate Socials Responsibility
B. Candies, drinks, beverages, and other sweets A. Corporation social Responsibility
with "no sugar Label
34. It refers to independent organizations trying to B. Hostile Takeover
police particular industry C C. Reverse takeover
A. Competitors D. Tender offers
B. Financiers
C. Regulatory Agencies 41. It is a type of takeover when company bypass the
D. Watchdog target company's management C
A. Friendly takeover
35. It refers to a public authority or government B. Hostile Takeover
agency responsible for exercising autonomous C. Reverse takeover
authority over some area of corporate activity C D. Tender offers
A. Competitors
B. Financiers 42. Which statement is true about the United Nations
C. Regulatory Agencies Conference on Trade and Development? C
D. Watchdogs A. This organization functions as a forum for inter-
governmental deliberations.
36. It is a term given to a person or entity who B. It undertakes research policy analysis and data
manages routinely huge amount of money C collection.
A. Competitors C. It provides technical assistance tailored to the
B. Financiers specific requirements of developing countries.
C. Regulatory Agencies D. All of the above
D. Watchdogs
43. Which statement is true about Organization for
37. Which external factors refer to corporations and Economic Co-operation and Development? C
other business entities, private or public offering the A. Support sustainable economic growth
same product or services that the company is offering? B. Boost employment
C C. Raise living standards.
A. Competitors D. All of the above
B. Financiers
C. Regulatory Agencies 44. Which statement is not true about Sarbanes-Oxley
D. Watchdogs Act ? D
A. Seeks to lay the ground for a culture proactive
38. It is a type of takeover when bidder company management of risks
makes an offer for another company, it usually inform B. The auditors of the companies will have the direct
first the board of directors of the company to be taken access to company information
over. C C. Provides checks and balances that were not
A. Friendly takeover available in the past
B. Hostile Takeover D. All of the above
C. Reverse takeover
D. Tender offers 45. This is a motive for cross listing to increase the
firm's visibility and acceptance to its customers,
39. It is a type of takeover when a takeover proposal suppliers, creditors, and host governments. C
that is public and open invitation, usually coursed A. To improve liquidity
through media by a prospective acquirer to all B. To support takeover bids
stockholders of a publicly-traded corporation which is C. To increase Firm's Visibility and Acceptance
the target corporation. C D. To Increase its Share Price
A. Friendly takeover
B. Hostile Takeover 46. If a company has foreign subsidiaries and wishes
C. Reverse takeover to use stock options and share purchase compensation
D. Tender offers plans for local management and employees, cross
listing should reduce transaction and foreign exchange
40. It is a type of takeover when a type of merger used costs for the local beneficiaries. This is an example of
by a private company to become publicly-traded C what motive for cross listing? C
A. Friendly takeover A. To Support Share and Options Plan
B. To support takeover bids
C. To Increase Firm's Visibility and Acceptance
D. To Increase its Share Price

47. When an investor already has huge influence in the

corporation, he can have the power to elect the officers
for the investee corporation. This is an example of
what role of institutional investors in governance. C
A. Monitoring
B. Driver of Agent's Performance
C. Good Activist
D. Principal-Agent Role (Duality)

48. This refers to the effect of the presence of MNC's

on domestic firms in the same sector. D
A. Governance
B. Infrastructure
C. Vertical Spill over
D. Horizontal spill over

49. This occurs because of the interaction between

domestic and foreign firms that are not in the same
industry. D
A. Governance
B. Infrastructure
C. Vertical Spill over
D. Horizontal spill over

50. These are types of FDI, except

A. Resource seeking
B. Outsourcing
C. Import substituting
D. Export platform