1. Professors Harry Markowitz and William Sharpe received their noble prize in e

1. Professors Harry Markowitz and William Sharpe received their noble prize in economics for their contribution to the.a. Option pricing model.b. Theories of working capital managementc. Theories of risk- return and portfolio theoryd. Theories of international capital budgeting2. With a Subchapter S corporation.a. Income is taxed as direct income is stockholdersb. Stockholders have the same liability as member of a partnershipc. The number of stockholders is unlimitedd. Life of the corporation is limited3. Agency theory would imply that conflicts are more likely to occur between management and shareholders whena. The company is owned and operated by the same personb. Management acts in the interested of maximizing shareholders wealth.c. The chairman of the board is also the chief executive officer (CEO).d. The boards of directors exerts strong and involved oversight of management4. The Sarbanes-Oxley Act set up the public company accounting oversight board with the responsibility for all of the following except.a. Auditing standards with is companiesb. Controlling the quality of auditsc. Certifying the competence of finance executivesd. Setting rules are standards for the independence auditors