Question: The following action ( s ) is / are a practical solution to the moral hazard problems in financial reporting: Have an audit committee of
The following actions isare a practical solution to the moral hazard problems in financial reporting:
Have an audit committee of accounting experts monitor the entity's financial reporting process.
Provide cash rewards to managers based on the quality of financial reporting.
Have a financial management team that rigorously evaluates the quality of the entity's investments.
a and
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