Q1: Corporate Executive managers work for the shareholders of the corporation. Consequently, they should make decisions that are in the interests of the owners, rather than their own.

Explain why the agency problem exists in the corporation and what strategies are available to shareholders to reduce the effect of this problem?

Q2: A bulk of literature in corporate finance reflects a comparison between the corporation and the other types of firms.

Explain how the corporation is similar or different from all other firms types, focusing on the formation, capital, liability, ownership, management? Explain which type of firm could be your choice for a future investment opportunity? Justify your decision.!