An agency problem occurs when there is a conflict between the interests of managers and the interests of shareholders.

Name: An agency problem occurs when there is a conflict between the interests of managers and the interests of shareholders.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

This is correct. An agency problem arises because managers may prioritize their own interests over those of the shareholders they serve. This can result in actions or decisions that benefit managers at the expense of shareholders.

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