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Busıness Fınance I
Busıness Fınance I Deneme Sınavı
Busıness Fınance I Deneme Sınavı Sorusu #1119968
Busıness Fınance I Deneme Sınavı Sorusu #1119968
Managers may prefer greater levels of consumption and less intensive work, which conflicts with the interests of the saheholders. What type of agency costs does this agency problem generate?
Equity agency costs |
Horizontal agency costs |
Vertical agency costs |
Agency costs of debt |
Agency costs of governance |
Yanıt Açıklaması:
Vertical equity agency costs stem from owners delegating managers (agents) to maximize their benefits in return of a financial return (compensation). Agency theory assumes
this relationship does not work properly because personal interests of managers sometimes do not allign with interests of shareholders.
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