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MGMT 640 Midterm Exam Answers

MGMT 640 Midterm Exam Answers

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MGMT 640 Midterm Exam Answers

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Financial Decision Making for Managers

Midterm Exam

The Midterm Exam is individual work. All work on the exam should be from your own efforts, with no assistance from classmates, family, friends or others.  By proceeding with this exam, you are agreeing not to share the exam content or your responses with anyone, including future students of MGMT640.   (Upload your answer sheet and working – if applicable – to Assignments folder in LEO).

You must submit a completed answer sheet with your answers.  You are not required to submit your working.  However, complete working in MS Excel, showing formulas and calculations may be considered for partial credit for incorrect answers.

Please refer to the Syllabus for the policy regarding late submissions.  There will be no make-up exams except for emergencies supported by appropriate documentation.

Identify the letter of the choice that best completes the statement or answers the question.

____c__ 1. One of the best ways to reduce agency conflict is by

a.

instituting severe penalties for bad decisions.

b.

hiring outside monitors to keep track of the manager’s decisions.

c.

designing an effective compensation package.

d.

having managers report to the board of directors. 

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