1. True or False, no need to explain a. Corporations has the largest setup cost among all three types of business ownership. b. The two major roles of a financial manager is capital budgeting and investing. c. Principal agency problem only happens in the upper management level in companies. d. Drop in rating of any firms will result in an increase in required return by creditors. e. Insider trading means members of the management team use inside information to profit by trading stocks of their company