Reference no: EM131061147 , Length: word count:2000
Task
An ongoing focus of corporate governance is the role of independent directors on company boards. Discuss the expectation of the Corporate Governance Council that the majority of directors on the boards of ASX companies should be independent.
In your discussion you should identify the arguments for and against the view that boards should consist of a majority of independent directors, and include a response to the following:
- In whose interest must a director act?
- What is the primary role of a board of directors?
- What does the term 'independent director' mean? Give an example of a non- independent director.
- What legal strategies are available under Australian law to manage the independence of a board's decision making? Eg. Identify sections within the Corporations Act, or common law requirements
- Should specific board positions be held by independent directors (eg Chairman). If so, why? If not, why not?
- Should better corporate governance, rather than better corporate performance, be the goal of the board?
- What is the relevance of the disclosure requirement in ASX Listing Rule 4.10.3?
- How is Principle 2 - and recommendations - of the ASX's Corporate Governance Council's ‘Corporate Governance Principles and Recommendations' relevant?
|
Why is the wacc used in capital budgeting
: 1. Why is the WACC used in capital budgeting? 2. What are some of the factors that affect the cost of capital?
|
|
What is anle expected dividend yield
: Anle Corporation has current price of $21 and is expected to pay dividend of $1 in 1 year and its expected price right after that dividend is $23. A) What is Anle's expected dividend yield? 4.76
|
|
What amount will be in the account after the deposit
: A deposit of $800 is planned for the end of each year into an account paying 8 percent/year compounded annually. The deposits were not made for the tenth and eleventh years. All other deposits were made as planned. What amount will be in the account ..
|
|
Approximate bond modified duration
: Consider a 30-year corporate bond paying 8 percent semi-annual coupon. The current yield to maturity is 10 percent. Find the approximate bond's modified duration by using changes in the interest rate up and down by 5 basis points.
|
|
What is the primary role of a board of directors
: BULAW5915 Corporate Law - What is the primary role of a board of directors and what does the term 'independent director' mean? Give an example of a non- independent director.
|
|
The interest had compounded annually
: Beatrice invests $1,390 in an account that pays 4 percent simple interest. How much more could she have earned over a 5-year period if the interest had compounded annually?
|
|
Assuming it adheres to its target capital structure
: A company expects to earn $17 million in income this coming year. Its target capital structure is 30% debt, 15% preferred stock, and 55% common equity financing. The company normally pays a dividend equal to 30% of its earnings. At what point will it..
|
|
Acquisition or as compensation expense to employees
: NaviNow Company agrees to pay $20 million in cash to the four former owners of TrafficEye for all of its assets and liabilities. These four owners of TrafficEye developed and patented a technology for real-time monitoring of traffic patterns on the n..
|
|
Increase in the velocity of money
: Supposed there is an increase in the velocity of money caused by the increased use of ATM machines.
|