A Situation in Which a Firm's Managers Fail to Act

question 17

Multiple Choice

A situation in which a firm's managers fail to act in the best interest of the shareholders is known as

• A)management ineffectiveness.
• B)the agency problem.
• C)managerial goal incongruity.
• D)None of the above.

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Definitions:

Outcomes

The results or consequences of actions, often used in an educational context to refer to the skills or knowledge gained.

Mindset

An established set of attitudes or beliefs held by someone.

Personality

The combination of characteristics or qualities that form an individual's distinctive character, affecting thoughts, feelings, and behaviors.

Intelligence

The ability to acquire and apply knowledge and skills, and adapt to new situations.