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Author Question: The possibility that the managers of a corporation might not always act in the best interest of its ... (Read 27 times)

Arii_bell

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on: Jun 29, 2018
The possibility that the managers of a corporation might not always act in the best interest of its owners is an example of the principal-agent problem.
 
  Indicate whether the statement is true or false

Question 2

Consumer surplus ________.
 
  A) equals total revenue minus marginal cost
  B) is maximized when the market outcome is efficient
  C) equals total revenue minus opportunity cost
  D) plus producer surplus is maximized when resources are used efficiently


Ddddd

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Reply #1 on: Jun 29, 2018
Answer to Question 1

TRUE

Answer to Question 2

D


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