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Corporate Finance

?

Agency costs refer to:

the total dividends paid to stockholders over the lifetime of a firm.
the costs that result from default and bankruptcy of a firm.
corporate income subject to double taxation.
the costs of any conflicts of interest between stockholders and management.

Correct - Your answer is correct.

Wrong - Your answer is wrong.

Detailed Answer

Correct answer: (D)
the costs of any conflicts of interest between stockholders and management.

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