Question: In relation to the principal - agent relationship between lenders and managers, the following is true, except: An agency problem may occur where management

"In relation to the principal-agent relationship between lenders and managers, the following is true, except:"
An agency problem may occur where management may invest in riskier assets after the loan has been arranged.
"An agency problem may occur where management may pay excessive dividends, leaving the company with insufficient funds to repay the debt."
An agency problem may occur where management may take on debt that has a higher priority in repayment than the loan already entered into.
An agency problem may occur where management may overinvest in projects that have positive net present values.

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