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LuckyWell [14K]
2 years ago
8

A conflict of interest between the stockholders and managers of a firm is referred to as the:________

Business
1 answer:
GalinKa [24]2 years ago
3 0

A conflict of interest between the stockholders and managers of a firm is referred to as the agency problem (option c).

<h3>What is the agency problem?</h3>

The agency problem  is a conflict of interest between the managers of the company and the principal (shareholders). The agency problem

occurs when the interest of the managers and the shareholders are not aligned.

For example, if the income of managers are tied to net income, it might  motivate managers to undertake risky projects that might not maximise shareholders wealth. This would lead to agency problem.

To learn more about agency problem, please check: brainly.com/question/16834354

#SPJ1

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The following transactions occur for Badger Biking Company during the month of June:
Sladkaya [172]

Answer:

Assets                                                 = Liabilities         + Stockholders' equity

Accounts receivable $31,000(+)                                    Revenue  $31,000(+)

Cash                            $23000 (+)

Accounts receivable $23,000(-)

Bike  equipment        $16,000(+)     notes payable $16,000(+)

Cash                           $3,100(-)                               retained earnings$3,100(-)

Explanation:

The first transaction increases assets (accounts receivable) by $31000 while revenue (stockholders' equity) increased by the same amount

The cash receipt of $23,000 increases asset cash by $23,000 and decreases an asset, accounts receivable by the same amount.

The purchase of an asset by notes payable increases asset, bike equipment by $16,000, while liabilities(notes payable) also increases by $16,000

The payment of utilities for $3,100 decreases asset (cash) by $3,100 while stockholders equity (retained earnings) decreases by same amount.

8 0
4 years ago
Sensitive data on a gfe mobile device does not need to be encrypted.
ser-zykov [4K]

ANSWER – TRUE

 

Sensitive data on a Government Furnished Equipment (GFE) mobile device does not need to be encrypted. This is because all Government Furnished Equipment (GFE) has encrypted hard drive and all data are automatically encrypted; even after an authorized personnel logs in (locally or remotely), the data remains encrypted.

4 0
3 years ago
Although not a goal of the unemployment insurance system, one effect is that the system reduces _________.
serious [3.7K]

Answer:

a. the rate of job finding.

Explanation:

The unemployment insurance system is a program managed by the federal and state governments to provide unemployment benefits to individuals who are unemployed and meet certain eligibility criteria.

Although not a goal of the unemployment insurance system, one effect is that the system reduces the rate of job finding.

However, the main goal of the unemployment insurance system is to reduce workers' uncertainty about their incomes.

7 0
3 years ago
As the difference among computer manufacturers in the areas of price and performance narrows, support for green computing is eme
vazorg [7]

Answer:

<u>True</u>

Explanation:

The above statement that, as the difference among computer manufactures in the areas of price and performance narrows , support for green computing is emerging as a new business strategy for these companies to distinguish themselves form the competition is true.

<em> Green computing is that in which we there is Eco - friendly use of computer.</em>

Green computing helps in reducing the waste and uses less energy and it also helps in promoting the recyclability.

We can also help in green computing by switch off the power when not in use , do recycle , buy such features which helps in saving energy and also can go digital . Green computing is very good for the environment as we can save our environment with the help of green computing . But the drawback of green computing is that it is<em> quit expensive</em>.

6 0
3 years ago
If a fixed asset, such as a computer, were purchased on January 1st for $3,750 with an estimated life of 3 years and a salvage o
damaskus [11]

Answer:

2. EOM Depreciation Expense 100 Accumulated Depreciation 100

Explanation:

The journal entry to record the monthly expense under straight-line depreciation is shown below:

EOM Depreciation Expense A/c Dr $100

      To Accumulated Depreciation A/c $100

(Being depreciation expense is recorded)

The computation is shown below:

= (Purchase value of a fixed assets - estimated residual value) ÷ (useful life × total number of months in a year)  

= ($3,750 - $150) ÷ (3 years × 12 months)  

= ($3,600) ÷ (36 years)  

= $100

4 0
3 years ago
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