1) According to the agency problem _________ represent the principals of a corpo

1) According to the agency problem _________ represent the principals of a corporation. A. employees B. suppliers C. shareholders D. managers 2) Which of the following is NOT a principle of basic financial management? A. Risk/return tradeoff B. Incremental cash flow counts C. Efficient capital markets D. Profit is king 3) Difficulty in finding profitable projects is due to: A. social responsibility. B. competitive markets. C. ethical dilemmas. D. opportunity costs. 4) Marshall Networks Inc. has a total asset turnover of 2.5% and a net profit margin of 3.5%. The firm has a return on equity of 17.5%. Calculate Marshalls debt ratio. A. 30% B. 40% C. 50% D. 60%