Practice Test Geeks(CED) Certified Executive Director Practice Test
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Regulatory Compliance & Legal Framework Flashcards

7 cards from real CED practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

Read the first 7 Regulatory Compliance & Legal Framework flashcards as text

  1. Under the Sarbanes-Oxley Act, which section requires CEOs and CFOs to personally certify the accuracy of financial reports?

    Answer: Section 302

    Section 302 of SOX requires the principal executive and financial officers to personally certify financial reports filed with the SEC.

  2. A nonprofit executive director discovers a board member has a financial interest in a vendor seeking a contract. The FIRST required action is to:

    Answer: Disclose the conflict and recuse the member from the vote

    Proper conflict-of-interest management requires disclosure and recusal from decision-making, not automatic removal.

  3. Which federal law prohibits discrimination in employment based on disability and requires reasonable accommodations?

    Answer: The Americans with Disabilities Act (ADA)

    The ADA of 1990 prohibits disability-based employment discrimination and mandates reasonable accommodations for qualified individuals.

  4. An organization's whistleblower policy is MOST directly intended to:

    Answer: Encourage reporting of legal violations without fear of retaliation

    Whistleblower policies protect employees who report suspected illegal activity or misconduct from retaliation by their employer.

  5. Under HIPAA, a covered entity must provide breach notification to affected individuals within how many days of discovering a breach?

    Answer: 60 days

    HIPAA requires covered entities to notify affected individuals within 60 days of discovering a breach of unsecured protected health information.

  6. The 'business judgment rule' in corporate law protects directors who:

    Answer: Make informed decisions in good faith without personal interest

    The business judgment rule protects directors from liability when they act in good faith, on an informed basis, and without personal financial interest in the outcome.

  7. Which of the following is the BEST description of 'respondeat superior' as it applies to executive liability?

    Answer: An employer can be held liable for wrongful acts of employees acting within the scope of employment

    Respondeat superior is a legal doctrine holding employers vicariously liable for employees' negligent acts committed within the scope of their employment.