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One way to correct a potential principal-agent problem is for stockholders to:

 a. offer managers "golden parachutes" in the event of a takeover. 

 b. empower managers to make the decisions they feel are best. 

 c. ensure that there is no explicit linkage between managers' compensation and the profitability of the firm. 

 d. All of these answers are correct. 

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Question added by Emad Mohammed said abdalla , ERP & IT Software, operation general manager . , AL DOHA Company
Date Posted: 2015/05/06
Salvatore Augello
by Salvatore Augello , owner , A.S. Trade & Consult

answer A ___________________________________

Deleted user
by Deleted user

Thanks for invitation

Agree with the majority

Mohammed Fathe  Shaheem
by Mohammed Fathe Shaheem , Operation Executive , Arabian Construction Company

Agreed by experts.............................................

Bello Abubakar
by Bello Abubakar , Cinema 4D Render/Sketch UP, AutoCAD, ArchiCAD and Revit Specialist , Federal Housing Authority

A..............................................................................

Wasi Rahman Sheikh
by Wasi Rahman Sheikh , WAREHOUSE SUPERVISOR , AL MUTLAQ FURNITURE MFG

Answer will be option ____________________A

khaled elkholy
by khaled elkholy , HR MANAGER , misk for import & export

a. offer managers "golden parachutes" in the event of a takeover.  is true,,,,,,,,,,,,

My answer is option (A) offer managers "golden parachutes" in the event of a takeover.

Khaled Anwar
by Khaled Anwar , Senior Sales Engineer , "Automotive company''

The answer is : Option ( A )

Emad Mohammed said abdalla
by Emad Mohammed said abdalla , ERP & IT Software, operation general manager . , AL DOHA Company

  1. The correct answer was: a. offer managers "golden parachutes" in the event of a takeover.