What is agency theory? How does corporate governance the issues raised by agency theory?

What will be an ideal response?


Agency theory explores the problems that arise because the owners of the firm do not typically manage the firm, and it devises ways to resolve these problems. This is often called the separation of owneship and control. A manager of a firm, in particular the chief executive officer (CEO), is viewed as an agent who contracts with various principals—most importantly the firm's shareholders but also the firm's creditors, suppliers, clients, and employees. The principals must design contracts that motivate the agent to perform actions and make decisions that are in the best interests of the principals.

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Which of the following is the best definition of the term big data?

A. Datasets that are too large and complex for businesses' existing systems utilizing traditional capabilities. B. Datasets generated by social media applications such as Facebook, Twitter, Tencent QQ, and Instagram. C. Databases measured in terms of zettabytes. D. Databases for businesses that generate more than one million electronic transactions per month.

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The Dodd-Frank Act:

a. extends the reach of the antifraud provisions of the 1933 and 1934 Securities Acts. b. appears to restore to private litigants the right to bring proceedings to enforce the antifraud provisions of the U.S. securities laws in cases with an extraterritorial component. c. limits the Department of Justice's right to bring proceedings to enforce antifraud provisions of the U.S. securities laws in cases affecting other nations. d. All of these.

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For the purposes of procedural due process, ____ includes certain entitlements conferred by government, such as social security payments and food stamps

A) the right of free speech B) equal protection C) property D) liberty

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Hosted CRM systems have become an attractive alternative for small and large sized firms

Indicate whether the statement is true or false

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