Question: 28. Shareholders prefer high risk projects when facing a high probability of bankruptcy because a. High risk projects usually bring high rewards. b. Shareholders have

28. Shareholders prefer high risk projects when facing a high probability

of bankruptcy because a. High risk projects usually bring high rewards. b.

28. Shareholders prefer high risk projects when facing a high probability of bankruptcy because a. High risk projects usually bring high rewards. b. Shareholders have the residual claim on a company. c. Creditors have the residual claim on a company, and therefore bear the risk. d. There is a good chance the government will rescue them in bankruptcv

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