TUTORIAL 20 :Theoretical Framework 1. Explain the similarity between the agency theory and transaction cost theory. 2. Differentiate the agency theory and stakeholder theory from the perspective of board members' responsibilities. 3. Discuss the costs involved in the agency theory. 4. How do directors bring in resources according to the resource dependency theory? Explain. 5. How stewardship theory can be linked to corporate governance? 6. Differentiate between transaction cost theory and agency cost theory in relation to corporate governance. 7. Which theoretical framework discussed during the lecture do you believe presents the most appropriate explicit framework for corporate governance, and why? 8. Linear Corporation hwd had been awarded a massive RM1.67 billion contract to design and construct a district cooling plant in Man'ung m by Seychellesibased company, Global Investment Group Inc. the project was known as the r'King Dome\". W former director, Alan 33%, paid out RM36 million cash without board approval. About six months later, it was discovered that there was no evidence of any significant progress made on the execution of the contract, and no documented evidence to demonstrate the viability of the King Dome project. In December 2009, Alan W was charged in the Sessions Court for authorizing the furnishing of a false statement to Bursa Malaysia. Required: a] Explain the corporate governance issue in this case. b] Which theory illuminates this case? c] If you were Alan, what is the best practice that you should conduct