Reading answers with explanations

IELTS · Part 3 · Cambridge 12 — Test 4

UK companies need more effective boards of directors: Reading answers

Answers to questions 27–40 (14 in all), each with why it is right.

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The passage opens

A After a number of serious failures of governance (that is, how they are managed at the highest level), companies in Britain, as well as elsewhere, should consider radical changes to their directors' roles.It is clear that the role of a board director today is not an easy one.Following the 2008 financial meltdown, which resulted in a deeper and more prolonged period of economic downturn than anyone expected, the search for explanations in the many post-mortems of the crisis has meant blame has been spread far and wide.Governments, regulators, central banks and auditors have all been in the frame.The role of bank directors and management and their widely publicised failures have been…

Answers 27–40

  1. 27

    Paragraph A

    iv: Many external bodies being held responsible for problems Matching headings

  2. 28

    Paragraph B

    ii: The impact on companies of being subjected to close examination Matching headings

  3. 29

    Paragraph C

    vi: A risk that not all directors take part in solving major problems Matching headings

  4. 30

    Paragraph D

    viii: A proposal to change the way the board operates Matching headings

  5. 31

    Paragraph E

    vii: Boards not looking far enough ahead Matching headings

  6. 32

    Paragraph F

    i: Disputes over financial arrangements regarding senior managers Matching headings

  7. 33

    Paragraph G

    iii: The possible need for fundamental change in every area of business Matching headings

  8. 34

    Close scrutiny of the behaviour of boards has increased since the economic downturn.

    YES Yes / No / Not Given

  9. 35

    Banks have been mismanaged to a greater extent than other businesses.

    NOT GIVEN Yes / No / Not Given

  10. 36

    Board meetings normally continue for as long as necessary to debate matters in full.

    NO Yes / No / Not Given

  11. 37

    Using a committee structure would ensure that board members are fully informed about significant issues.

    NO Yes / No / Not Given

  12. 38

    information Note completion

  13. 39

    financial Note completion

  14. 40

    shareholders / investors Note completion

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