GENERAL KNOWLEDGE

Detailed explanation-1: -Corporate governance is a system by which corporates are directed and controlled. The Board of Directors have a fiduciary duty to the shareholders, and thereby are responsible for overseeing the operations and activities of the company.

Detailed explanation-2: -Corporate governance is the system by which companies are directed and controlled. Boards of directors are responsible for the governance of their companies. The shareholders’ role in governance is to appoint the directors and the auditors and to satisfy themselves that an appropriate governance structure is in place.

Detailed explanation-3: -Governance encompasses the system by which an organisation is controlled and operates, and the mechanisms by which it, and its people, are held to account. Ethics, risk management, compliance and administration are all elements of governance.

Detailed explanation-4: -A management control systems (MCS) is a formal or informal system which gathers and uses information to evaluate the performance of different organizational resources like human, physical, financial and also the organization as a whole considering the organizational strategies (adapted from Otley, 1994).

Detailed explanation-5: -The system by which organizations are directed and controlled by their owners is called corporate governance. A system is established to ensure effective controls and operations of the organizations. This system is called corporate governance.