Recall the last time you ate at an expensive restaurant where you paid the bill. Now think about the last time you ate at a similar restaurant, but your parents paid the bill. Did you order more food (or more expensive food) when your parents paid? Explain how this relates to the agency problem in corporations. (Select all the choices that apply.) A. In both situations there may be a lack of interest in controlling costs if those costs are not borne directy by the person making the decsion B The your case and corporate managers n the corporate setting to put their own se terest ahead of the interests agency problem leads an individual (in of the shareholders (your parents in your case) while you may be faced with an agency problem spending more when your parents are buying than you would if you were paying seldom faced with such decisions. Your situation could never lead to an agency problem since your parents would only want the best for you. c corporate managers are D.
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A & B both seem to be the answer. Ideally, a corporate manager must look out for controlling the costs in a company because they
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Recall the last time you ate at an expensive restaurant where you paid the bill. Now think about the last time you ate at a similar restaurant, but your parents paid the bill. Did you order more food (or more expensive food) when your parents paid? Explain how this relates to the agency problem in corporations. (Select all the choices that apply.) A. In both situations there may be a lack of interest in controlling costs if those costs are not borne directy by the person making the decsion B The your case and corporate managers n the corporate setting to put their own se terest ahead of the interests agency problem leads an individual (in of the shareholders (your parents in your case) while you may be faced with an agency problem spending more when your parents are buying than you would if you were paying seldom faced with such decisions. Your situation could never lead to an agency problem since your parents would only want the best for you. c corporate managers are D.