1. One set of finance-related decisions made by companies includes the selection and purchase of long-term assets. These are collectively called the_______desicions.

A) Financing

B) Investing

C) Working Capital

D) Dividend

2. The "agency problem" stems from:

A) Potential conflicts of interest between shareholders and managers

B) Potential conflicts of interest between shareholders and the board of directors

C) Potential conflicts between managers and the board of directors

D) Potential conflicts between conflicts of interest between managers and customers