Question $1(2$ points$)$

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Agency costs as the sum costs of:

Question $1$ options:

a$)$

the costs of implementing control devices and the residual loss of wealth due to divergent management behavior.

b$)$

the set$-$of$-$contracts needed to structure the firm and residual wealth.

c$)$

the costs of implementing control devices and the monitoring costs of the shareholders.

d$)$

monitoring costs of the shareholders and the residual loss of wealth due to divergent management behavior.