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Which One of the Following Is a Source of Conflict

Question 27

Multiple Choice

Which one of the following is a source of conflict between owners and managers?


A) Manager's effort leaves firm's value and manager's utility unchanged.
B) Manager's effort decreases firm's value and manager's utility.
C) Manager's effort increases firm's value but decreases manager's utility.
D) Manager's effort increases firm's value and manager's utility.

Correct Answer:

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