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ninute mark.

Question $5$

$5$ pts

Which of the following practices is most effective in reducing agency costs within a large corporation?

Restricting managers from holding personal investments in the company.

Allowing shareholders to cast votes on executive compensation packages annually.

Tying executive compensation directly to short$-$term stock price fluctuations.

Enhancing the transparency of financial statements and ensuring stakeholder access.

Conducting rigorous performance reviews for all employees regularly