Brief the term directors and managers, Financial Management

Directors and managers

While directors and managers are in concentrate attempting to promote and balance the interests of shareholders and other stakeholders it has been argued that they also promote their own interests as a separate stakeholder group.

This occur from the divorce between ownership and control where the behaviour of managers can't be fully observed giving them the capacity to take decisions which are consistent with their own reward structures and risk preferences. Directors may therefore be interested in their own remuneration package. In a non-financial sense they possibly interested in building empires exercising greater control or positioning themselves for their next promotion. Nonfinancial objectives are occasionally difficult to separate from their financial impact.


Posted Date: 7/8/2013 2:54:17 AM | Location : United States

Related Discussions:- Brief the term directors and managers, Assignment Help, Ask Question on Brief the term directors and managers, Get Answer, Expert's Help, Brief the term directors and managers Discussions

Write discussion on Brief the term directors and managers
Your posts are moderated
Related Questions
Write a report to the Board of Directors of Solvent Ltd to analyse the performance of companies X and Y and to give recommendation as which of those two investment opportunities is

which are the components of working capital management?

Solutions to this Conflict In common, to make sure that managers act to the best interest of shareholders, the firm will: (a) Acquire Agency Costs in the form of:

Calculate Current cash debt coverage ratio: Financial statements for Delta Company are presented below:   Delta Company Balance Sheet December 31, 2012

Suppose the bid-ask spot prices for one British pound are $1.50 and $1.60 respectively. 1. Compute the bid-ask prices for one US dollar in terms of British pound. 2. Suppose

Ratio Calculation:   A 'Financial Ratio' is an index that relates two accounting numbers and is obtained by dividing one number by the other. Various Ratios are - 1. L

X company sells on terms of 2/10, net 40. Gross sales last year were $4.5 million and accounts receivable averaged $ 437,500. Half of X''s customers paid on day 10 and took discoun

One of the well-known soccer clubs in Australia, Sydney, has made a decision to include its players on the club's statement of financial position as assets. These players are signe

What is the De-merger This is splitting up of a group into two or more separate bodies. The group is split into separate entities, but the shareholders remain the same. It is o

Floor Brokers These people have the responsibility of executing the trades forwarded by the FCMs on the floor of the exchange. They can also trade for their own account. They w