FIN 515 Week 6 Problem Set

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FIN 515 Week 6 Problem Set

Chapter 29 (Pages 983-984)
1. What inherent characteristic of corporations creates the need for a system of checks on manager behavior?

2. What are some examples of agency problems?

3. What are the advantages and disadvantages of the corporate organizational structure?

4. What is the role of the board of directors in corporate governance?

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