1. Explain the concepts of information asymmetry, moral hazard and adverse selection. 2. What changes in the Sarbanes-Oxley Act of 2002 reinforce the governance system? 3. What do you suggest for...

1. Explain the concepts of information asymmetry, moral hazard and adverse selection.

2. What changes in the Sarbanes-Oxley Act of 2002 reinforce the governance system?

3. What do you suggest for reforming post-crisis corporate governance?

4. How is the field of corporate governance related to other disciplines?

5. Why is an appropriate level of understanding of a client’s business and environment important in conducting a financial statement audit?