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The person is an example of a healing "shaman"

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Which of the following factors tend to encourage management to act in their stockholders' best interests?a.A reasonable compensation package sufficient to attract and retain able managersb.Direct intervention by shareholdersc.Firing managers who do not perform welld.Threat of a hostile takeovere.All of these factors encourage management to act in shareholders' best interests

Which of the following statements about business organizations is CORRECT?a.It is generally easier to transfer one's ownership interest in a partnership than in a corporation.b.A significant risk in starting a proprietorship is that you may be exposed to personal liability if the business goes bankrupt. This problem would be avoided if you formed a corporation to operate the business.c.If a corporation elects to be taxed as a P corporation, then both it and its stockholders can avoid all federal taxes. This provision was put into the Federal Tax Code in order to encourage the formation of small businesses.d.It's unlikely for a firm to be organized as a corporation when it requires a lot of capital.e.Tax advantages of incorporation offset the corporate shareholders' exposure to unlimited liability.

The Gabriel Corporation has asked you, a consultant, to recommend an action that is likely to REDUCE potential conflicts between stockholders and bondholders. Which action do you propose?a.Compensating managers with more stock options and less cash incomeb.The passage of laws that make it harder for hostile takeovers to succeedc.A government regulation that banned the use of convertible bondsd.The firm begins to use only long-term debt (e.g., debt that matures in 30 years or more) rather than debt that matures in less than one year.e.Including restrictive covenants in the company's bond indenture (which is the contract between the company and its bondholders)

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