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aahraradqeydftah1eg Accounting profit � ameasures the difference between

1haargrsdqeyftdaeathe total revenue agenerated by athe organization and its


1hgraarsdeqyftdaea1dstotal acost.

ahgararadqeytfdse12. Acquisition (or takeover) � awhen one organization


1hgaarqrsdtyefde1 Agency costs � the costs resulting from managers
1aaqasrreetydfdascosts of monitoring them to try to prevent this abuse.
hgaqaeerstrytdfdagaaa between the providers of capital, referred to as the
principal,
1hqeaetrasrydfdaghaqgaa and those who employ that capital on their behalf, referred
ageaaerstrqyfdah1as the agent (see principal�agent problem).
ageaasryqerfddah1gd
a1eeaqartsyrfdaaa4. aAsymmetry of information � exists when the agents
agesaqyrrytafddah1g (managers) running a corporation have greater access
agyeaaratrqafddeh1vgirtue of their position.

aeayeaqratstfrddahddsaasd qaaa a more comprehensive assessment of the state of


aehyeaqeratsfrddag1d gtheir organization. It enables managers to provide
aeayeagrttafrqrddshhsd qaa consistency between the aims of the organization and
1gayaeerqatfdrdshaasd qaa the strategies undertaken to achieve those aims.
rheyaaaqrefrsdgas.

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