Question
Stuck on the following questions. Multiple choice. One answer for each. 1. The primary goal of a publicly-owned firm interested in serving its stockholders should
Stuck on the following questions. Multiple choice. One answer for each.
1. The primary goal of a publicly-owned firm interested in serving its stockholders should be to:
-Minimize the chances of losses
-Maximize share price
-Minimize expected EPS
-Minimize shareholder wealth
-Maximize expected total corporate profit
2. Which one of the following is an agency cost?
-Cost of dividend payments to stockholders
-Cost of interest payments to bondholders
-Cost of an internal audit required by bondholders
-Cost of wages for managers
-Cost of dividend payments to bondholders
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