Employees are encouraged to eat at the company cafeteria


Employees at the Jackson Hole Corporation typically take 45 minutes for lunch when the allocated time is only 30 minutes. Employees are encouraged to eat at the company cafeteria located in the middle of the company facilities. Most employees choose to eat their lunch in the cafeteria. Is there an agency cost here? If so, how can management eliminate or reduce this agency cost ?

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Finance Basics: Employees are encouraged to eat at the company cafeteria
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