CH04+questions - Chapter 4 The share market and the...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: Chapter 4 The share market and the corporation 1. A fundamental characteristic of a publicly listed corporation is the separation between owners and managers. Briefly discuss the rights, roles and responsibilities of the shareholders, board of directors and executive management. 2. Why might a business organisation seek listing as a publicly listed corporation? Include in your answer the advantages of the corporate form of business organisation. 3. Maximisation of shareholder value is a principal objective of an organisation. What is the relationship between this objective and the problems identified in agency theory? 4. A stock exchange provides a formal market that facilitates the flow of equity funds into the capital markets. Explain this flow-of-funds process from the perspective of a listed corporation raising equity finance. 5. Discuss the secondary market role of the share market and its importance to the corporation. Demonstrate your answer through the use of examples....
View Full Document

Page1 / 2

CH04+questions - Chapter 4 The share market and the...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online