In Order to Minimize the Temptation for Managers to Act

Multiple Choice

In order to minimize the temptation for managers to act in their own self-interest, governance mechanisms exist for implementation consideration. Which of the following is not a primary means for monitoring managerial behavior?

A) a board of directors that acts in the best interests of shareholders to create short-term value
B) shareholder activism in which owners view themselves a shareowners
C) a board of directors that acts in the best interests of shareholders to create long-term value
D) managerial incentives to align management interests with those of the stockholders