1.How can agency problems be mitigated?

	Governance mechanisms like internal monitoring by large block shareholders
	Paying the manager a larger fixed salary
	Frequent turnover in manager positions
	Public regulation

2.Which of the following is a possible objective for a not-for-profit (NFP) organization?

	Maximizing the longevity of the administrators
	Maximizing some outcome preferred by the contributors
	Maximizing the quantity and quality of output while breaking even
	All of the above

3.Which of the following statements is correct? Assume everything else equal.

	Riskier assets are more valuable than (preferred to) less risky assets.
	The sooner cash is received, the more valuable it is.
	Investors generally prefer short-term, high-risk assets investments.
	Investors generally receive higher returns on investments with low risk than investments with high risk.