Contracting cost - agency costs, Finance Basics

Assignment Help:

Contracting Cost - Agency Costs

These are costs acquired in devising the contract between the shareholders and managers.

The contract is drawn to ensure management act in the excellent interest of shareholders and the shareholders conversely undertake to compensate the management with their effort.

Examples of the costs are as:

  • Negotiation fees
  • The contracts fee the legal costs of drawing.
  • The costs of background the performance standard.

Related Discussions:- Contracting cost - agency costs

Personal Finance, Which of the following is true with regards to rising int...

Which of the following is true with regards to rising interest rates. A. Use long-term loans to take advantage of current low rates. B. The term of the loan is ot impacted by risin

What is a treasury bill, What is a Treasury bill? How risky is it? Trea...

What is a Treasury bill? How risky is it? Treasury bills are short-term debt instruments granted by the U.S. Treasury which are sold at a discount and pay face value at maturit

Computer the fair value of the stock, Future Ltd is a leading music enterta...

Future Ltd is a leading music entertainment company in the country and the stocks of the company are actively traded in the stock exchange. For the year just ended few days back,

How can you analysis organization position, The organization performed very...

The organization performed very well during the last year and generated profit in each segment. In the food and beverage segment, the company has made 30% net profit and in rooms a

Bureaucratic system of management, "Managerial leadership considers that th...

"Managerial leadership considers that the focus of school leaders ought to be on functions, tasks and behaviours and if these functions are carried out competently the work of othe

Finance model paper questions, 1.  Suppose you would like to buy a house an...

1.  Suppose you would like to buy a house and you decided you can pay 3500 per month for 30 years.  Your bank has approved you for a 30-year fixed rate mortgage loan at a quoted AP

Example of npv method, Example of NPV Method Resolution limited inte...

Example of NPV Method Resolution limited intends to purchase a machine worth Shs.1, 500,000 that will have a residue value Shs.200,000 after 5 years helpful life. The saving

Computation of payback period method, Computation of Payback Period Method ...

Computation of Payback Period Method 1. Under uniform annual incremental cash inflows - if the venture or an asset generates uniform cash inflows then the payback period (PB

Vincent mind set, if u were the professor wht your opinion about vincent mi...

if u were the professor wht your opinion about vincent mind stage

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd