1. The standard repayment period for student loans is 10 years. ? However, there are a lot of other options available to most students. Which of the following is a true statement about student loan? repayment?
A. The? income-based repayment plans require to you have? "financial hardship" to? qualify, but they allow you to stretch your payments over a longer time period? (over 20? years).
B. You need to participate in the Pay As You Earn plan or the? income-based repayment plans to qualify for the Public Loan Forgiveness Plan.
C. Graduated payments allow you to make lower payments when you first graduate but the amount of the payments will increase every 2 years over a? 10-year period.
D. You must have some of your? "grace period" remaining to qualify for the student loan consolidation program.
E. All of the above are true statements about student loans
2. Which of the following would be best considered to be an agency conflict problem in the behavior of the following financial? managers?
A. Bill chooses to pursue a risky investment for the? company's funds because his compensation will substantially rise if it succeeds.
B. Michael chooses to enhance his? firm's reputation at some cost to its shareholders by sponsoring a team of athletes for the Olympics.
C. James ignores an opportunity for his company to invest in a new drug to fight? Alzheimer's disease, judging the? drug's chances of succeeding as low.
D. Sue instructs her staff to skip safety inspections in one of the? company's factories, knowing that it will likely fail the inspection and incur significant costs to fix.