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Agency Relationship

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Mini Case 2 - Read the Chapter 13 Mini Case on page 544 in Financial Management: Theory and Practice. Using complete sentences and academic vocabulary, please answer questions a through d.

It is important to understand how there can be parallel attribution towards what one can decide (as defined by the Steve Jobs or the Mark Zuckerberg) that can initiate the start of the company. With the every defined product, it would be important to understand how there can be the product that can be programmed with the software platform which would help to understand the key requirements of the media devices, and it would include the related parameters of the laptop computers along with following the desktop computers or adhering to the digital video recorders, and cell phones. It is important to understand how with the given defined market that would be related to the student body would be part of the university. As interpreted how with the given company and the defined set up procedures, that can relate to the procedures that would fully be operational to it and can plan to expand based on the colleges that are part of the area and cover the nationwide. As understood how with the public role that is part of the IPO, that can include the yacht or can take off that would include the related parameters. Often with the given scope of the South Pacific, it would follow the required insights of the underwater photography and can also potentially be able to answer yourself, along with covering the potential investors.

Task A) What is an agency relationship? When you first begin operations, assuming you are the only employee and only your money is invested in the business, would any agency conflicts exist? Explain your answer.

Answer: Within the defined office relationship it would be based on the set patterns along with the insights on the given another person, that would be running parallel with the specialist along with the administration that would also be related to the foremost delegates that would also be running parallel to the basic leadership expert that can relate to the operator. With the given existence of the event that operations it would also be working from the zone of the started and the main worker's assets that can focus on the organization that can cover the individual whoa reactively engaged with the business.

Task B) If you expanded and hired additional people to help you, might that give rise to agency problems?

Answer: Often their can be the office issues that would be equally be running into an irreconcilable situation that can exist with the framework of the power or specialist that would be part of the system such as the chief or investor along with following the contracts part of the operators this can relate with the business, and would cover the ascent to office issues.

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Task C) Suppose you need additional capital to expand and you sell some stock to outside investors. If you maintain enough stock to control the company, what type of agency conflict might occur?

Answer: It would be one of the conflicts that would exist with the entrepreneur along with the investors incorporate that can run onto the business ventures that would equally be unsuccessful and would be one defined cause along with the required rate of return increment.

Task D) Suppose your company raises funds from outside lenders. What type of agency costs might occur? How might lenders mitigate agency costs?

Answer: It would be running with the given office costs that would include the stores that have the outside loan specialists that can relate to the costs. Often the loan specialists would also be eliminating the office costs that would be defying the higher rate which can protect from the issues and expansion chance that would be actively involved with the activities the business.

Using the mini case information, write a 250-500-word letter of intent discussing specific strategies for how you will conduct your start-up business with personal and professional integrity.

During my searched information on the acquaint Ashford In-home Daycare that is part of the Goldsboro, NC. It would be important to understand how with the given entrepreneur, there would be an equal insight to the procedures which can focus on the business that Goldsboro which would have a closed insight of the daycare (Brigham, 2016). While initiating the home daycare, It would be important to note how the families are running parallel with the help to the sitters and it would include the babysitters that need to be compatible with the children's. Sit would be important to develop a strong bonding between the child and the educator relationship and also be able to run the operations smoothly and make the dependability factor stronger. There should be appropriate staff hired that can take care of children and also be able to review the required company staus and keep a check of the care. It would include how there can be dependability factors that would be trust and instilling faith to shield the daycare.

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