For which of the following balance sheet items will the book value and market value most likely be closest at the time the balance sheet is prepared?

Accounts receivable

Common stock

Long-term debt

Net fixed assets

Retained earnings

To avoid the agency problem, managers should take actions:

which add to the size of the firm's workforce.

which add value to the firm.

only if they increase the market share of the firm.

only if management jobs will not be jeopardized.

only after the president has approved them.