Please answer the following questions based on your own understandings:

(1) How many types of decisions one corporation needs to make? Could you please show two examples for each type?

(2) What are the functions of financial managers? Ideally, could one person both be a controller and a treasurer? Why?

(3) What is agency cost? How could we reduce thiscost? Please show at least two ways and illustrate how they work in detail.

(4) What is the goal of the corporation? Is it desirable for managers to act in the narrow, selfish interest of their shareholders?