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    Principles of Corporate Finance
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    Exam 12: Agency Problems, Compensation, and Performance Measurement
  5. Question
    Managers on a Fixed Salary Often Fall Victim to the Following
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Managers on a Fixed Salary Often Fall Victim to the Following

Question 7

Question 7

Multiple Choice

Managers on a fixed salary often fall victim to the following temptations:
i.reduced effort; II) needless spending on perks or private benefits; III) empire building; IV) entrenching investments; V) avoiding risks


A) I,II,and V only
B) I,II,and IV only
C) I,II,III,and IV only
D) I,II,III,IV,and V

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