Key Dimensions in Corporate Governance Quiz

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Overview of governance pillars

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DR MUHAMMAD FAHMI MD RAMZAN

Malaysia

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Key Dimensions in Corporate Governance Quiz


Key Dimensions in Corporate Governance QuizOnline version Overview of governance pillars by DR MUHAMMAD FAHMI MD RAMZAN 1 What is The Company Constitution? a The constitution outlines crucial rules governing the company’s internal affairs and management. It effectively binds the company and its members, including directors, shareholders and officers b It defines only the company’s external relations c It is optional and only for large corporations d It is a document filed only for private companies 2 Under the amended Companies Act 2016, are the memorandum and articles of association mandatory for all companies? a No—they are no longer a mandatory document for certain companies and the CA 2016 is directly applied. b Yes, they must always be filed c They are optional and have no legal effect d They are replaced by a single constitution that is mandatory for all 3 What does Section 35(1) of the Companies Act 2016 state about the constitution contents? a Only the rights and powers of the company b the objects of the company; the capacity, rights, powers or privileges of the company if the provision restricts such capacity, rights, powers or privileges; matters contemplated by the Act to be included in the constitution; and any other matters as the company wishes to include in its constitution c Only matters contemplated by the Act to be included in the constitution d Only the objects of the company 4 What is a listed benefit of the Company Constitution? a to replace all regulatory requirements with internal rules b to support the business objectives, ensure legal compliance, manage activities effectively, establish consistent rules, and define processes and protocols to minimise internal disputes c to increase board size and complexity d to avoid any risk management and compliance 5 What happens without a company constitution? a The company is automatically dissolved b The company constitution is automatically implied by the court c The company is governed by international law only d The company will be governed exclusively by the broad and generalised provisions of the Companies Act 2016 6 Name an element commonly included in a company constitution. a Marketing and branding guidelines b Shareholder dividend policy only c External audit procedures d Appointment and Removal of Directors 7 What is Risk Management in corporate governance? a It only concerns marketing risks b It is the responsibility of the auditors alone c It replaces the need for internal controls d Risk management focuses on identifying threats and opportunities while internal control helps counter threats and takes advantage of opportunities 8 Who are the Independent Gatekeepers? a Internal board members only b Outside professionals or positions with contractual relationships who provide important services that benefit stakeholders c Shareholders acting as auditors d Regulators who supervise the company directly 9 Give an example of a gatekeeper. a Company interns b External auditors who provide independent assurance on the financial condition c Marketing agencies d In-house legal counsel only

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Key Dimensions in Corporate Governance Quiz

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Key Dimensions in Corporate Governance QuizOnline version

by DR MUHAMMAD FAHMI MD RAMZAN

What is The Company Constitution?

Under the amended Companies Act 2016, are the memorandum and articles of association mandatory for all companies?

What does Section 35(1) of the Companies Act 2016 state about the constitution contents?

What is a listed benefit of the Company Constitution?

What happens without a company constitution?

Name an element commonly included in a company constitution.

What is Risk Management in corporate governance?

Who are the Independent Gatekeepers?

Give an example of a gatekeeper.