Which of the Following Is True of How Managers May

Multiple Choice

Which of the following is true of how managers may differ from shareholders?

A) Managers can diversify the risks more easily.
B) Managers are more likely to pursue projects with high potential payoffs.
C) Managers diversify investments more easily.
D) Managers are less averse to risk.
E) Managers are likely to prefer more emphasis on uncertain incentives than base pay.