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Do Homework-Abby Neft Mecalia Finefio httpe//www.mathal.com SAM 3100 Online Spring 2017-2018 Abby Nem 1 1/17/18 8:15 PM Fina Homework: Chapter 1 Save Homework Score: 0 of 1 pt P 1-13 (book/static) 11 of 18 (7 complete) HW Score: 33.33%, 6 of 18 pts Question Help * You are the CEO of a company and you are considering entering into an agreoment to have your company buy another company You think the price might be too high, but you will be the CEO of the combined, much larger company You know that when the company gets bigger, your pay and prestge will increase. What is the nature of the agency confict hore and how is it related to ethical considerations? Select all the choices that apply ) A. B. There s an citical dlemma when the CEO of a frmhas incentes that are opposite to those of the shareholders There isa legal tssue when tho CEO of a firm has ncontives that ye opposite to those of the shareholders CEO) have an incentive to potentially overpay for another company (which would bo damaging to your shareholders) because the value of the combined company willimprove in ties case, you (as the CEO) have an incentive to potentialy overpay for another company (which would be damaging to your shareholders) because your pay and prostige will improve Click to select your answer(s) and then click Check Answer Clear All

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