16. Finance function: All public companies must hire a certified public accounting firm to perform an independent audit of their financial statements. What exactly does the term audit mean?

17. Firm's goal: What are some of the drawbacks to setting profit maximization as the main goal of a company?

18. Firm's goal: What is the appropriate goal of financial managers? How do managers' decisions affect how successful the firm is in achieving this goal?

19. Firm's goal: What are the major factors that affect a firm's stock price?

20. Agency conflicts: What is an agency relationship, and what is an agency conflict? How can agency conflicts be reduced in a corporation?