Solved

Risk Is Shifted to the Owners of a Firm

Question 7

Multiple Choice

Risk is shifted to the owners of a firm.In return they receive


A) normal wages.
B) residual income.
C) normal profit.
D) marginal profit.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q2: Firm governance must enhance<br>A)wages.<br>B)control by stockholders.<br>C)efficiency.<br>D)government regulation.

Q3: Owners claim residual income.

Q4: Stockholders have little incentive to monitor<br>A)managers.<br>B)stock markets.<br>C)stock

Q6: Firms serve similar functions to<br>A)courts.<br>B)governments.<br>C)markets.<br>D)all of these

Q6: The structure of an organization is influenced

Q8: The CEO and stockholders are not necessarily

Q9: If firms were teams then there would

Q12: The CEO and stockholders talk almost everyday.

Q16: Upstream and downstream refer to the degree

Q25: Make or buy decisions affect the degree