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Which of the following is true of financial institutions? Managers of financial

ID: 1175582 • Letter: W

Question

Which of the following is true of financial institutions?

Managers of financial institutions should have an understanding of factors that cause interest rates and other returns in the financial markets to rise and fall.

Financial institutions are required by the Sarbanes-Oxley Act to disclose the environment-friendly measures taken by investment corporations.

Financial institutions are accountable and responsible in reporting financial information for publicly-traded corporations.

Financial institutions require public corporations to adopt socially responsible work practices.

Financial institutions are the regulators of interest rates and other returns in financial markets.

a.

Managers of financial institutions should have an understanding of factors that cause interest rates and other returns in the financial markets to rise and fall.

b.

Financial institutions are required by the Sarbanes-Oxley Act to disclose the environment-friendly measures taken by investment corporations.

c.

Financial institutions are accountable and responsible in reporting financial information for publicly-traded corporations.

d.

Financial institutions require public corporations to adopt socially responsible work practices.

e.

Financial institutions are the regulators of interest rates and other returns in financial markets.

Explanation / Answer

Managers of financial institutions should have an understanding of factors that cause interest rates and other returns in the financial markets to rise and fall.

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