For each requirement, state how it is intended to help to address the risk of fraud in publicly traded organizations. a. Boards need to consist of at least 3 independent directors of 1/3 of the board which is higher. b. Boards need to hold regular executive sessions of independent directors without management present.

Foundations of Business (MindTap Course List)
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ISBN:9781337386920
Author:William M. Pride, Robert J. Hughes, Jack R. Kapoor
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Chapter15: Using Management And Accounting Information
Section: Chapter Questions
Problem 1DQ
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For each requirement, state how it is intended to help to address the risk of fraud in publicly traded organizations.

a. Boards need to consist of at least 3 independent directors of 1/3 of the board which is higher.

b. Boards need to hold regular executive sessions of independent directors without management present.

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