CFA Practice Question

There are 86 practice questions for this study session.

CFA Practice Question

If you want to find information about management and director compensation, you should look in the ______.
A. auditor's report
B. MD&A or footnotes
C. proxy statement
Explanation: The proxy statement provides such information and discloses any potential conflicts of interest that may exist between the management and shareholders.

User Contributed Comments 2

User Comment
ongster Proxy statement is a document containing the information that a company is required by the SEC to provide to shareholders so that they can make informed decisions about matters that will be brought up at an annual shareholder meeting. Issues covered include proposal for additions of new director to the Board of Directors, info on directors' salaries, info on bonus and option plans for directors, and any declarations by company management.
rmullin information about executive pay is contained in the notes of 10-K, while information on a vote about a change in executive pay is in a proxy statement. At least I thought?
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