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The fact that the manager generally has more information about the "true" financial position and results of operations of the entity than does the absentee owner is called______________.
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The fact that the manager generally has more information about the "true" financial position and results of operations of the entity than does the absentee owner is called______________.

User Afaq Ahmed Khan
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1 Answer

4 votes

Answer:

Information assymetry

Step-by-step explanation:

Information assymetry occurs when one party to an economic transaction possesses greater material knowledge than the other party. In this case manager has more information than owner.

User RotatingWheel
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