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( The goal of the financial manager ) There are several measures that can be taken to help limit the agency problem. ( Select the

(The goal of the financial manager) There are several measures that can be taken to help limit the agency problem. (Select the best choice below.)
A. Compensation plans can be put in place to reward managers when they maximize shareholder wealth.
B. Firms that fail to maximize shareholder wealth may be taken over and their management team replaced.
C. The board of directors can actively monitor the actions of managers to keep pressure on them to act in the best intere st of shareholders.
D. Financial markets play a key role in monitoring management.
E. All of the above are correct.
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