The existence of the principal-agent problem: Select one: A. increases the risk of buying stock in a corporation B. implies that managers that have the same incentives as the board of directors C. increases the risk of becoming the sole proprietor of a business D. does all of the above.

Answers

Answer 1

Answer:

a

Explanation:


Related Questions

Rockwood International needs to make risky decisions on a daily basis. Therefore, its managers are likely to

Answers

Answer:

Centralize decision making

Explanation:

From the question we are informed about Rockwood International who needs to make risky decisions on a daily basis. Therefore, its managers are likely to Centralize decision making.

Centralization can be regarded as setup whereby decision-making powers are been concentrated or given to few leaders that are on top of the organizational structure. Decisions making are been carried out at the top then communicated to lower-level managers so that implementation can take place.

The greater the risk associated with an investment, the greater is its _____. book value market appeal expected return price

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Answer:

expected return

Explanation:

please help me,its economics, what is the other for real GDP and nominal GDP​

Answers

Answer:

The main difference between nominal GDP and real GDP is the adjustment for inflation. Since nominal GDP is calculated using current prices, it does not require any adjustments for inflation. ... Using a GDP price deflator, real GDP reflects GDP on a per quantity basis.

As a member of a software development team for a national nonprofit organization, Larissa is responsible for creating an interface model for a new app. What is Larissa's role in the organization

Answers

Answer:

Software designer.

Explanation:

A software can be defined as a set of executable instructions (codes) or collection of data that is used typically to instruct a computer how to perform a specific task and to solve a particular problem.

Basically, softwares are categorized into two (2) main categories and these are;

I. Utility software.

II. System software.

Larissa's role in the national nonprofit organization is a software designer because she's saddled with the responsibility of creating an interface model for a new app i.e the graphic user interface that would be seen and used by the end users of the software application.

Select the correct answer.
A household detergents company introduces a new product in the market. It hires several salespeople to make door-to-door sales for the first three months. The salespeople have to gather certain information about customers during their sales trips. For one such salesperson, a customer is not willing to share details related to his experience with competitor products. In such a case, what should the salesperson do?
A.
refer the case to another colleague who is expert in extracting details out of such customers
B.
forcibly try to get the details out of the customer
C.
respect the customer’s privacy and not ask any further questions
D.
tempt the customer with discounts on the current product if he shares his details

Answers

Answer: C. respect the customer’s privacy and not ask any further questions.

Explanation:

Since the customer is not willing to share details related to his experience with competitor products, the best thing to do in this case is to respect the customer’s privacy and not ask any further questions.

It's good to respect the privacy of people if they are not willing and ready to give out certain information. In this case, it should be noted that forcibly trying to get the details out of the customer isn't ideal.

Likewise, referring the customer to someone more experienced isn't necessary in thus regard since the customer isn't willing to share any information.

Therefore, the correct option is C.

Answer:

C

Explanation:

You should respect the customers privacy because they are not doing anything sketchy. They are just choosing not to share their thoughts.

Expenses that are not easily traced to a specific department, and which are incurred for the joint benefit of more than one department, are

Answers

Answer:

Indirect expenses

Explanation:

Indirect expenses are those that are usually sent on more than one department, and it is not easily traced to one source.

They are usually costs that result from running the business as a whole.

Examples of indirect expenses includes rent, taxes, advertising, salaries, administrative expenses, distribution and selling expenses.

These expenses will eventually be shared between different departments in the organisation and cannot be traced to only one source, so it is called indirect expense.

Marvelous Motor Works sells vehicles directly to businesses for use in their companies. Marvelous Motor Works has a manager for each type of vehicle it sells (cars, trucks, and delivery vehicles). The salespeople for each product report directly to his or her manager but may also consult the financing department and legal department to handle issues relating to financing and liability issues. This is an example of a(n) ______ organization.

Answers

Answer:

Line and staff organization

Explanation:

Marvelous Motor practice line and staff organization.

Line and staff organization refers to when specific and supportive roles are attached to the line of command by assigning staff supervisors and staff specialists who are attached to the line authority.

The executives(managers of each type of vehicle) holds the power of command and staff supervisors(financial and legal department) guides, advices and council the line executives.

Markus United Inc., a soap manufacturing company, maintained strategic advantage over other companies by retaining profits in a unique way. The company bought a few distributors in order to improve efficiency and cut down transportation costs while distributing its products to retail stores. The company generated more profits than its competitors this way. This is an example of _________.

Answers

Answer:

forward integration

Explanation:

This is an example of forward integration. This is because in forward integration, the company implementing this tends to buy other business that are already perfoming tasks for the as third party contracts in which the required tasks are being outsourced to them. Therefore, by buying these business' the company no longer needs to outsource and is handling the tasks themselves, therefore, improving efficiency. This is exactly what Markus United Inc. is doing by buying the transportation company to whom they previously outsourced all of their transportation needs.

4) The management of Stanforth Corporation is investigating automating a process. Old equipment, with a current salvage value of $24,000, would be replaced by a new machine. The new machine would be purchased for $516,000 and would have a 6 year useful life and no salvage value. By automating the process, the company would save $173,000 per year in cash operating costs. The simple rate of return on the investment is closest to:

Answers

Answer:

17.86%

Explanation:

Calculation to determine what The simple rate of return on the investment is closest to:

First step is to calculate the Depreciation

Depreciation = $516,000 ÷ 6years

Depreciation= $86,000

Second step is to calculate Incremental operating income

Incremental operating income = $173,000-$86,000

Incremental operating income=$88,000

Now let determine the simple rate of return on the investment

Using this formula

Simple rate of return = incremental operating income ÷ initial investment

Let plug in the formula

Simple rate of return = $87,000÷$516,000

Simple rate of return =17.86%

Therefore The simple rate of return on the investment is closest to:17.86%

hat sets one organization apart from others and provides the firm with a distinctive edge for meeting marketplace needs is known as _____ a target market b decentralization c competitive distinction d competitive advantage e core competency

Answers

Answer:

d competitive advantage

Explanation:

The Target market refers to the customers that the company wants to sell its products or services. Therefore this option is incorrect.

Decentralisation is basically a transfer of authority to several branches of an organisation instead of only one. This option is also incorrect.

The competitive distinction is defined as the difference between what the organisation offers in comparison to its competitors. This option is also incorrect as it does not provide any distinctive edge in the marketplace for the organisation.

Competitive advantage defines the factors that help a company produce goods or services in a way that is cheaper and/or better than its competitors. This is the correct option as it is providing factors that would be helpful for firms to have a distinctive edge in the marketplace.

Core competency refers to the fact that the organisation must define its resources and capabilities in order to have a strategic advantage over its competitors. This option is mainly suggesting to define its advantages over the competitors. Hence, this option is also not correct.


12. All contracts are generally based on

a. Promises to do certain things

b. Agreements between two or more parties

c. Money passing from person to person

d. Buying goods and services

Answers

Answer:

B. agreements between two or more parties

Explanation:

if you were to sign a contract for something huge and you were broke the contract before you had finish the time that you had signed whom ever you signed it could end in a law sue and maybe even jail time.

Hope this helps :)

H2 O'Yeah has designed a water purification device that is drastically different and far superior to any product currently on the market. Although consumer response was positive to the idea of the new product, management wants to find out more before committing to full-scale production. The next step H2 O'Yeah's marketing department is likely to take is to Multiple Choice locate a low-cost production site. seek a joint venture with a larger competitor. test market the product among potential users. develop an advertising campaign to persuade consumers of the value of the new water purifier system.

Answers

Answer:

test market the product among potential users.

Explanation:

In the context, it is given that a water purification device manufacturing company, H2 O'Yeah had designed a purification device which is far more better and efficient than any other water purification device currently present in the market.

The customer response about the design of the new purification device was also positive. But before going for mass production of the device, the company, H2 O'Yeah wanted to find out more about the customer 's response and so they are going to test market the device among the potential customers and will take their feedbacks and advices before full scale production.

It is an efficient way for a successful development of a product and knowing about the feedback about the customers.

Therefore the correct answer is "test market the product among potential users."

Martin's Yachts has paid annual dividends of $1.40, $1.75, and $2.10 a share over the past three years, respectively. The company now predicts that it will maintain a constant dividend since its business has leveled off and sales are expected to remain relatively constant. Given the lack of future growth, you will only buy this stock if you can earn at least a 12% rate of return. What is the maximum amount you are willing to pay to buy one share of this stock today

Answers

Answer:

$17.50

Explanation:

Price i would be willing to pay = last dividend paid / rate of return

2.10 / 0.12 = $17.50

A joint stock company is an artificial person, created by law having a separate legal existence with a perpetual succession and a common seal. justify?​

Answers

Answer: See explanation

Explanation:

joint-stock company is a business that is being owned by its investors, such that the share owned is based on the stock that been bought.

In a joint stock company, it should be noted that the members are liable for the debts of the company only based on the extent of the amount that they've contributed.

At least one shareholder owns the joint stock company and it's managed by at least one director. In the case of death or disability, the life of the company won't be affected which indicates the perpetual succession.

You are obligated to do anything you can to lawfully win an advantage for your buyer. This is an example of which fiduciary duty

Answers

Answer:

Loyalty

Explanation:

Fiduciary responsibility is a form of obligation one owes another.

A fiduciary duty refers to when a person or entity places trust, confidence, and reliance on another to exercise expertise in acting on the client's behalf.

The fiduciary(the person who has the dity) must willingly accept that trust and confidence. He must always act in the interest of the beneficiary.

Fiduciary responsibilities:

1. The duty of care

2. The duty of loyalty

3. The duty of obedience

U.S. GAAP for long-lived assets significantly impedes rate-of-return comparisons across companies unless the firms:

Answers

Answer: Apply the same depreciation methods and the same useful lives among similar groups of assets

Explanation:

US GAAP for long-lived assets significantly impedes rate-of-return that is, the annual income from an investment which is being expressed as a proportion of the original investment comparisons across companies unless the firms apply the same depreciation methods and also the same useful lives are applied among identical groups of assets.

Mae and Joe form a partnership. Mae contributes $3,000 in cash, and Joe contributes his services. Throughout the life of the partnership, Mae also lends the partnership $1,000. Upon dissolution of the partnership, $2,500 is left in the partnership assets after all outside creditors have been paid. Absent a partnership agreement to the contrary, how should the partnership assets be distributed

Answers

Answer:

The partnership assets should be distributed $ 1875 for Joe and $ 625 for Mae.

Explanation:

Since Mae and Joe form a partnership, and Mae contributes $ 3,000 in cash, and Joe contributes his services, and throughout the life of the partnership, Mae also lends the partnership $ 1,000, and upon dissolution of the partnership, $ 2,500 is left in the partnership. assets after all outside creditors have been paid, absent a partnership agreement to the contrary, to determine how the partnership assets should be distributed the following calculation must be performed:

Joe = 3000

Mae = 1000

Joe 3: 1 Mae

2500/4 x 3 = Joe = 1875

2500/4 = Mae = 625

Therefore, the partnership assets should be distributed $ 1875 for Joe and $ 625 for Mae.

When cost systems were developed in the 1800's, most companies ______. Multiple select question. produced a small number of similar products focused on simplicity assigned overhead based on machine hours believed there was little correlation between labor hours and overhead

Answers

Answer:

believed there was little correlation between labor hours and overhead

Explanation:

When cost systems were developed in the 1800's, most companies used a blanket overhead or a plant wide rate to allocate the overheads. They  believed there was little correlation between labor hours and overhead.

In order to build alliance management capabilities in small companies, it is recommended that firms take the ______ approach

Answers

Answer:

non-equity alliance.

Explanation:

In Business management, a strategy can be defined as a set of guiding principles, actions and decisions that an organization combines so as to achieve its business goals, attract customers and possess a competitive advantage over its rivals in the industry.

Generally, a business strategy sets the overall direction for the business because it focuses on defining how a business would achieve its goals, objectives, and mission; as well as the funds and material resources required to implement or execute the business plan. The components of a business strategy includes the following;

I. Mission.

II. Value.

III. Vision.

Hence, when you wish to build alliance management capabilities in small companies, it is highly recommended that business firms take the non-equity alliance approach.

A non-equity alliance approach can be defined as a contractual relationship between two or more organizations that are interested in achieving common goals and objectives by pooling their resources, capabilities and efforts together while respectively maintaining their organizational independence without creating a new corporation or equity entity.

Setting personal goals, peer evaluations, and parental involvement are all components of what type of instructions?

A.
concrete

B.
essential

C.
manipulative

D.
individualized

Answers

Concrete instructions is the term for setting personal goals, peer evaluations, and parental involvement.

What is concrete instructions?

This is type of instruction that is usually tailored by the teacher to meet the personal goals of the student.

In this type of instruction, the family of the student is usually involved and the peers of the students are all parts of the evaluation process.

Read more on concrete instructions here:https://brainly.com/question/14591988

Answer:

concrete

Explanation:

The boss stops providing free coffee to the workers when the monthly sales goal is not met. This is an example of:

Answers

Answer:

negative incentive

Explanation:

CPA Inc. is a publicly traded company. The stockholders of this company delegate the authority to make decisions for the company to a CEO named Joaquin. The stockholders expect Joaquin to make decisions that will benefit the company. However, Joaquin begins to find ways to maximize his total compensation, which hinders CPA's performance. This scenario reflects

Answers

Answer:

The appropriate approach is "Principal-agent problems".

Explanation:

A contradiction of objectives or priority between someone individual or organization as well as the authorized accompanying documents to operate over its behalf is considered as Principal-agent problem.The possession of a commodity or fundamental assigns immediate supervision of that resource to some other agency may transpire in whatsoever circumstance.

Gillette spent $300 million in advertising to introduce the MACH3 razor to consumers. Such expenditures are often made to stimulate __________ or desire for the product class, rather than for a specific brand, when there are no competitors with the same product.

Answers

Answer:

Primary demand

Explanation:

Demand for a product may be influenced by the company's brand name or based on the demand influenced by the product category. When demand is based on a particular product category rather than for a particular brand type, then we refer to this as primary demand. In the scenario above, the Gillette MACH3 is a particular product produced by Gillette, and the $300 million spent on its advert is for the product rather than to promote the Gillette brand. Hence, this advert spending on the MACH3 which is a particular category of gillete's product is spent to stimulate primary demand of product.

After passing the bar, Frankie needs money to start his own law practice. Martina is still in high school and needs money to take the SAT. Robi is about to enter college and needs money for his first year of class. Which describes the way each person is most likely to get financial assistance

Answers

Answer:

D.) Frankie should borrow money from the bank, Martina should get a part-time job, and Robi should apply for a scholarship.

Explanation:

Since in the given situation it is mentioned that frankie wants to start his own practice so for this he required the money. Martina requires the money for SAT. And, robi wants the money for the first year

So as per the given situation, frankie should have to borrow the money from the bank, martina should go for the part time job and robi should have to apply for the scholarship

Therefore the option d is correct

Stephen is a professor at a university. He tells his students that rich countries continue to stay rich because they control the economies of poor countries. He also states that they exploit the poor countries because workers in poor countries depend on external markets for jobs. He argues that rich countries set prices for agricultural products exported by poor countries regardless of market values. Which theory is he describing to his students

Answers

Answer: ​World-system theory

Explanation:

​World-system theory are various approach to how past events in the world played out alongside social changes and it's impact on the people.

They are many claims the rich make their wealth off the poor, many of those claims could be true, as we are surrounded with a few rich and many struggling person's in the society. These theories and many more which tell how past events play out is known to be ​World-system theory.

Which type of retailer offers a wide choice of products and high-quality service?

Answers

Answer:

Department store

Explanation:

Stores may be categorized based on the type and variety of goods which they offer. Department stores may be described as a retail store or opening which is designed to offer a wide range of consumer products. Department stores on their case offers several categories of consumer products and are thus segmented based on these categories :

Categories of consumer product offers may include ; Clothing ; Electronics ; Mobile devices ; Furniture, Groceries and so on. With department stores, consumers can have almost all their retail needs met all in one place.

During 2017, Oriole Company expected Job no. 59 to cost $300000 of overhead, $560000 of materials, and $200000 in labor. Oriole applied overhead based on direct labor cost. Actual production required an overhead cost of $255000, $630000 in materials used, and $280000 in labor. All of the goods were completed. How much is the amount of over- or underapplied overhead

Answers

Answer:

$165,000

Explanation:

The computation of the amount of over- or underapplied overhead is shown below:

The Predetermined overhead rate is

= Predetermined overhead ÷ direct labor cost

= ($300,000 ÷ $200,000)

= 150% of direct labour cost

Now  

overhead applied is

= (150% × $280,000)

= $420,000

And,  

Actual overhead=$255,000

So,  

overhead overapplied is

= $420,000 - $255,000

= $165,000

Stan wants to invest in real property. Rather than be a sole owner, Stan would prefer to pool his resources with other people to own and develop a small office building. He would prefer not to take part in the day-to-day responsibilities of the organization. What type of business venture would best fit his goals?

Answers

Answer:

limited partnership real estate investment syndicate

Explanation:

Since in the given situation it is mentioned that stan wants to invest in the real property instead be a sole owner. So he pool his resources in order to create the office building with the other people also at the same time he is not interested to take part in day to day responsibilities

So here it is a limited partnership business venture as he is engaging with other people not alone to create the office buidling

Suppose you deposit $2,262.00 into an account today. In 11.00 years the account is worth $3,855.00. The account earned ____% per year.

Answers

Answer:

4.97 %

Explanation:

Data and Calculation :

PV = - $2,262.00

N =  11.00

FV = $3,855.00

P/YR = 1

PMT = $0

I/YR = ? 4.97 %

THUS,

The account earned 4.97 % per year.

The rapid growth of the Chinese economy should benefit U.S. consumers as they have access to less-expensive consumer goods. make it more difficult for citizens of the United States to find jobs. not affect the mix of jobs available to citizens of the United States. benefit U.S. consumers as they have access to less-expensive consumer goods and make it more difficult for citizens of the United States to find jobs

Answers

Answer:

as they have access to less-expensive consumer goods.

Explanation:

Economic growth is the increase in total GDP or output of an economy.

If there is a rapid growth in the Chinese economy , it means that the total output produced by China increases. This means that U.S. consumers can import cheaper less expensive consumer goods. This is because the value of the Chinese currency is lower than that of the US dollar

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