All categories

3 years ago

The principal-agent problem arises when ________.

Business

1 answer:

Paha777 [63]3 years ago

3 0

Answer:

a. the owners of the firm also manage the firm

Explanation:

In domain of supply chain management and economics principal–agent problem can be regarded as one that occur when single person or an entity stand in the position of making decisions or in position of taking actions on behalf of another person/ entity Instance of this is real-life example where the way that companies are been owned and been operated. The owners of the company i.e "principal" of the company will be the one to elect a board of directors.

It should be noted that the principal-agent problem arises when the owners of the firm also manage the firm

You might be interested in

Jeeves consulting requires a performance evaluation method that is less time consuming to develop and administer and allows for

soldi70 [24.7K]

Jeeves consulting needs a performance evaluation method in quantitative analysis and comparison. Because of this, they need a technique evaluation that will be of help of assessing and evaluating a performance. What they should use is the graphic rating scales as it fits the method they need to use as it is a performance appraisal method in a way of having to show quantitative analysis and comparison. It enables to show effective performance and to show rates and differences of what is being compared. It is easier to use for it is less time consuming in the process of administering and developing.

4 0

3 years ago

"your boss just told you that the is department ran an automated security scan of the system and that it found a problem with yo

Nina [5.8K]

Terminating an employee because of using unauthorized software in the workplace is a serious offense.First, the employee was already informed about the policy of not to bring his own unauthorized software, in this case the employee is terminated right away because he/she knows already the dangers of using unauthorized software like viruses, bots, worms and other malicious programs.

5 0

3 years ago

At which inventory level is operations management considered to be doing an excellent job?

Natalka [10]

operations management is considered to be doing a great job when you are able to lead your crew and make sure all of the inventory is in order.

8 0

3 years ago

Toggle Company reported sales of $310,000 and cost of goods sold of $180,000 for 20X2. During 20X2, Toggle’s accounts receivable

kiruha [24]

Answer:

Cash Received from customers = $293,000

Cash payments to suppliers = $167,000

Cash flows from operating activities = $460,000

Explanation:

Cash Received from customers is calculated as follows :

Sales $310,000

Less Increase in accounts receivable ($17,000)

Cash Received from customers $293,000

Cash payments to suppliers is calculated as follows :

Cost of goods sold $180,000

Decrease in Inventory $8,000

Decrease in Payable ($21,000)

Cash payments to suppliers $167,000

Cash flows from operating activities is calculated as follows :

Cash Received from customers $293,000

Cash payments to suppliers $167,000

Cash flows from operating activities $460,000

7 0

3 years ago

Peng Company is considering an investment expected to generate an average net income after taxes of $2,600 for three years. The

daser333 [38]

Answer:

NPV = $-42,124.72

Explanation:

The new present value of after tax cash flows from an investment less the amount invested.

NPV can be calculated using a financial calculator:

Cash flow in year 0 = $-54,000

Cash flow each year in year 1 and 2 = $2,600

Cash flow in year 3 = $2,600 + $7,200 = $9,800

I = 10%

NPV = $-42,124.72

To find the NPV using a financial calacutor:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. After inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.

3. Press compute

I hope my answer helps you

3 0

3 years ago