FIN 3030 Corporate Finance Week 1 DQ 2 - 18626

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The separation of ownership and control is often a subject of concern for financial managers. Management decisions are sometimes not acceptable to shareholders. This, in turn, raises conflicts. These conflicts are called agency problems.

Provide at least two more examples of agency problems. Why does such a conflict develop? Are such conflicts more likely to occur in smaller or larger organizations? Why? What can be done to decrease the likelihood of these conflicts?

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week 1 DQ 2.docx
week 1 DQ 2.doc...