Explain in your own words two ways organisations can use corporate disclosure policy to maintain or regain organisational legitimacy.

Auditing: A Risk Based-Approach (MindTap Course List)
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ISBN:9781337619455
Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
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Chapter3: Internal Control Over Financial Reporting: Responsibilities Of Management And The External Auditor
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Problem 3CYBK: Which of the following are affected by the quality of an organization’s internal controls? a....
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Explain in your own words two ways organisations can use corporate disclosure policy to maintain or regain organisational legitimacy.

please expalain it clearly

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Step 1

Corporation:

 

Business concerns which have a separate legal entity; and are owned by shareholders, are known as corporation. Transfer of ownership and raising funds are easy in this form of organization. The liabilities of the stockholders to its creditors are limited up to their invested capital amount in the corporation.

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