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Examples of agency costs are 1. The total dividends paid to shareholders over the lifetime of the firm 2. The costs that result from default

Examples of agency costs are

1.

The total dividends paid to shareholders over the lifetime of the firm

2.

The costs that result from default and bankruptcy of the firm

3.

Corporate income subject to double taxation

4.

The costs of the conflict of interest between stockholders and management

5.

The total interest paid the creditors over the lifetime of the firm

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