Question: When risk-adverse managers reject all projects that are high-risk and high return, this is an example of a) Indirect agency costs. b) Bankruptcy costs. c)

When risk-adverse managers reject all projects that are high-risk and high return, this is an example of

a) Indirect agency costs.

b) Bankruptcy costs.

c) Operating costs.

d) Direct agency costs.

e) Systematic risk.

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