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hello and welcome to this session in which we will discuss corporate governance corporate governance is important when we have whats called agency problem and what is an agency problem agency problem is when the shareholders of the company the owners of the company are separate than the people who are running the company on a day-to-day basis and as a result there could be some conflict of interest or what we call agency problem between the shareholders and managers managers may be working in their own best interest rather than the shareholders that hire them as a result we have to introduce this concept called corporate governance now this concept is covered in auditing which is the cpa audit exam as well as the cpa bec section in this session were going to be focusing on the bec section of the exam so if you are a cpa candidate most likely you are listening to this youre a cpa candidate i strongly suggest you take a look at my website for hat lectures dot com i dont replace your
