Your boss comes to you and asks you to defer recognizing certain expenses in this period by capitalizing the expenditures as a depreciable asset.It has been rumored that your branch of the company has been doing poorly and is on an internal list for possible closings.A closing of your branch would mean your boss, yourself and 20 others would lose their jobs.However, a good quarter could mean that another branch will be closed instead.You know the expenditure is not an asset.

Define the agent(s) and principal(s) in this problem.