Akosua is becoming interested in investing some of her money. However, she heard about several corporations in which the investors lost all of their money. In the past three years, Akosua has heard that the UT Bank and Unibank have all filed for bankruptcy. These firms shareholders lost their entire investments in these firms. Many of the shareholders who lost money were employees of these companies who lost their entire investment in these firms. Many of the shareholders who lost money were employees of these companies who had invested some of their retirement money in the company shares.

Describe why the primary objectives of maximizing shareholder value in corporate finance may actually be the most beneficial for society in the long run. Describe four unethical benefits managers might engage in because of the agency problem in corporate finance. How might the application of corporate finance improve your professional and personal decisions?