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Increasing the size of firm and maximizing current profits

Please answer the question below and describe your reasoning.

The CEO of Entitled Ltd. has been focused on increasing the size of the firm and maximizing current profits. Your friend, aware of your expertise in the field of finance, asks you if the CEO's actions are creating an agency problem, and if so, asks about options that are available to the shareholders to resolve this problem. How would you answer your friend?

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Accounting Basics: Increasing the size of firm and maximizing current profits

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