$7.$ Which among the following is not a characteristic of a partnership firm?

a$.$ Easy Formation

b$.$ Equal Profits

c$.$ Limited Liability

d$.$ Mutual Consent

$8.$ Which of these banks focus on assisting clients, planning to raise funds from the debt market,

pricing the debt offering, provide underwriting services, and syndicating their products?

a$.$ Cooperative Banks

b$.$ Investment Banks

c$.$ Land Banks

d$.$ Commercial Banks

$9.$ Which of the following is not a way in which agency problems can be reduced through corporate

control?

a$.$ Executive compensation

b$.$ Threat of takeover

c$.$ Acquisition of a foreign subsidiary

d$.$ Monitoring by shareholder

$10.$ The Siblings Berhad is a local company producing and sells bicycle. The company always focuses on

producing good quality bicycles. The price range for their bicycle is RM $2000$ RM $5000,$ this price

range is agreed and approve by the stockholders. The current market for the bicycle industry has been

gloomy. The general manager decided to use a lower quality raw material and cut the price, making

the price range now between RM $800$ RM $3000.$ The change in quality and price cut has helped to

increase sales, however it decreases the shareholder income.

The above is a case of:

a$.$ Agency Problem

b$.$ Agency Cost

c$.$ Management pessimistic attitude

d$.$ Moral hazard