A) conflicts of interest

Professional managers and owners of the firm are different, and both of them contain different job positions. The managers are hired, and they are equivalently responsible for accomplishing all targets and success factors of the business. While the owners have invested their own money in channelizing the production process, they have the sole objective of attaining profits and fear of risks. The owners do not believe in investing in the ventures with the major risk factors, while the managers often channelize the project's funds with huge risk and returns. It is because the riskier project would imply more returns to the firm.