Homestead Technology (HT) is on the verge of bankruptcy. The price of HT's stock has dropped from approximately $20 per share one year ago to just $1 today, and shareholders are not happy. While the financial position of the firm was deteriorating, HT executives dramatically increased their own salaries and bonuses. Assuming management was aware of the company's impending fate, we would describe this situation as an accounting problem an agency problem a financial engineering problem acceptable, because compensation should increase each year acceptable, because it was not illegal