Of the Following List, Which Represents a Potential Implication for Agency

question 17

Multiple Choice

Of the following list, which represents a potential implication for agency issues when shareholders are physically dispersed or widespread?

• A)More shareholders have a controlling say in what happens in the firm.
• B)The likelihood of management pleasing all shareholders is greatly improved.
• C)A firm's chief executive officer (CEO)is better able to choose his or her friends to sit on the board of directors.
• D)none of the above

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Definitions:

Resource Effectiveness

The efficient and effective use of resources to achieve desired outcomes and objectives.

Nonprofit Sector

A segment of the economy consisting of organizations that operate primarily for purposes other than making a profit, focusing on social, charitable, cultural, educational, or community-oriented goals.

Natural Disasters

Severe and unexpected events caused by natural processes of the Earth that lead to environmental, financial, and human losses.

Relief & Wellbeing

The state or experience of being free from stress, tension, or anxiety, contributing to an individual's overall sense of health and happiness.