Examkin

Question

Difficulty: MediumPublic Enterprises: Rationale, Features, Management, and Control

A statutory public corporation submits its annual audited financial statements and performance reports through its supervising minister to the legislature for examination. Which type of control over public enterprises is being exercised through this procedure?

  1. Parliamentary controlAnswer
  2. B
    Judicial control
  3. C
    Public opinion control
  4. D
    Board of directors control

Answer

Parliamentary control
Submitting audited financial accounts and annual performance reports through the supervising minister to the National Assembly is a fundamental method of parliamentary control. It allows elected representatives to debate enterprise efficiency, evaluate public funds spending, and hold public corporations accountable.

Step-by-Step Solution

1
Identify the governing oversight body receiving the financial statements and performance reports.
The legislature (parliament) receives the documents via the supervising minister.
The entity conducting the review dictates the category of external control.
2
Classify the specific control mechanism based on constitutional commercial practice.
Legislative debate and scrutiny of public enterprise reports constitute parliamentary control.
Parliament exercises oversight on behalf of citizens to verify that public funds appropriated to the enterprise were used efficiently.

Key Concept

Parliamentary Control of Public Enterprises
Rate this question

Topics

Public Enterprises: Rationale, Features, Management, and Control

More questions from this topic