"goldenparachute"contracts excellentpay executiveperks jobsecurity a ANSWER: arisefromthedivergentobjectivesbetweenownersandmanagers. Shareholderrelationships Stakeholderproblems Creditorproblems Agencyproblems d ANSWER: Agencycostsincludeallofthefollowingexcept: expenditurestomonitormanagement'sactions providingstockaspartofmanagement'scompensation flotationcosts bondingexpenditures c ANSWER: Apotentialagencyconflictcanarisebetweenstockholdersandcreditorsbecauseownersmay increasetheriskofafirm'sinvestments decreasetheamountofdebtoutstanding decreasetheriskofafirm'sinvestments increasethefirm'snetworth a ANSWER: Creditorshaveafixedfinancialclaimonacompany'sresourcesthroughallofthefollowingEXCEPT: longtermdebt bankloans preferredstock commercialpaper c ANSWER: Agencyproblemsmaygiverisetocoststhat themarketvalueoffirms. increase decrease donotaffect arenotimportantto b ANSWER:
"goldenparachute"contracts excellentpay executiveperks jobsecurity ANSWER: a arisefromthedivergentobjectivesbetweenownersandmanagers. Shareholderrelationships Stakeholderproblems Creditorproblems Agencyproblems ANSWER: d Agencycostsincludeallofthefollowingexcept: expenditurestomonitormanagement'sactions providingstockaspartofmanagement'scompensation flotationcosts bondingexpenditures ANSWER: c Apotentialagencyconflictcanarisebetweenstockholdersandcreditorsbecauseownersmay increasetheriskofafirm'sinvestments decreasetheamountofdebtoutstanding decreasetheriskofafirm'sinvestments increasethefirm'snetworth ANSWER: a Creditorshaveafixedfinancialclaimonacompany'sresourcesthroughallofthefollowingEXCEPT: longtermdebt bankloans preferredstock commercialpaper ANSWER: c Agencyproblemsmaygiverisetocoststhat themarketvalueoffirms. increase decrease donotaffect arenotimportantto ANSWER: b
Test-Bank-for-Contemporary-Financial-Management-13th-Edition-by-Moyer.docx