The Agency Cost Problem or Principal-Agent Problem‚ which is believed‚ arises from the separation of ownership and control‚ could be mitigated in many ways. In their paper Jensen and Meckling (1976) mention that if a company fully owned by its managers‚ they will work on maximizing its value. But if a fraction of this equity owned by managers is sold to outsiders‚ the risk borne by them now will have fewer fractions than before. This will be one of the main reasons for management to act on maximizing
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suffering exists in this world? An excellent question‚ one to which we as human begins may unfortunately never know the proper answer to. Albert Camus’ book “The Plague” offers a valid response to the problem of evil and suffering because‚ it offers a more rational understanding of the puzzle that is the problem of evil and suffering while‚ it simultaneously encourages resistance to evil. The story accomplishes this by having the reader experience the reality of natural evil through the eyes of various
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Programming Problems For each of the following Programming Problems‚ use the top-down modular approach and pseudocode to design a suitable program to solve it. 1. a. Input names of students from the user‚ terminated by ”ZZZ”‚0‚0‚0‚ and create a data file grades with records of the following form: student (String)‚ test1 (Integer)‚ test2 (Integer)‚ test3 (Integer) b. Display the contents of the file grades created in Part a. Each student’s record should appear on a separate line and include
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Everyday trash gets thrown on the side of the road and in other public areas like parks‚ schools‚ and neighborhoods. When trash gets left in these areas for a long time‚ some of the metals‚ plastic‚ and foods can harm plants‚ animals‚ even humans. The Litter Bot is an Adafruit that can pick up trash. Redbots or Adafruits are kits that can be put together to create a machine that is programed using Arduino to do tasks that can help provide a service for society‚ improve quality of life‚ and will eventually
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The Free Rider Problem The free rider issue has become one of the most serious economic issues today. The free rider is a lazy type person who wants the benefits that others bring in without having to do the work. The free rider typically takes advantage of a public good. Living in a civilized society presents many opportunities for free riding‚ which we have yet to find a way to control. Economists regard the possibility for free riding as a problem for the free market‚ which usually leads
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9-Step Problem Solving Model Scenario One Reflection Paper This paper discusses the effectiveness‚ challenges‚ and application of the 9-Step Problem Solving Model with respect to the scenario involving USAuto and AutoMex. The effectiveness of USAuto’s attempt demonstrates the importance of correctly following each step of the model to obtain maximum success. Effectively applying the 9-step model shows faults that USAuto made during their initial problem-solving attempt. We also discuss challenges
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PROCESS of PROBLEM SOLVING and DECISION MAKING Teamwork is important to organizations in this entire world nowadays to be successful and to have control in the market. Teamwork is basically defined as problem solving group of people who have a variety of skills and strengths to obtain the most perfect solution. Teamwork is one of the main goals for organizations to make sure that they are on the right track in obtaining their visions. There are many ways that organizations put their
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In distinguishing social problems fro crime‚ it is imperative to note that social problems are defined as conditions which threaten the well being of a society as a whole. These conditions may characterize forms of moral decadence in manner that can not be accurately qualified as criminal .To effectively draw the line between social problems and crimes one has to draw in examples here. Examples of social problems are corporate corruption; shortage of education resources‚ poverty‚ drug abuse‚ aging
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The Wicked Problem of Broken Food System A broken food system refers to food-related processes or infrastructure for feeding a population that do not work for consumers causing problems in the context of economic‚ environmental‚ health‚ and societal influences (University of Vermont Continuing Education 2012). It can be identified as a wicked problem in that almost one billion people are hungry due to the broken food system although there is enough food produced and that eighty percent of the
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Agency problem and its solutions Introduction Principal-agent relationship occurs when a principal contracts an agent. The principal hires the agent to perform a service for him or to act on his behalf. For example‚ in a large corporation‚ shareholders would hire managers to help them to organize the company in dairy business. However‚ agency problems may arise because of the conflict interest and asymmetry information between principals and agents‚ which lead to agency costs. In this essay‚
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