The study looked at how free cash flow and managerial ownership affect agency costs in Nigerian consumer and industrial goods firms. They found that high free cash flow increases agency costs, but managerial ownership can help reduce this impact. The level of managerial ownership matters, as it has a nonlinear effect on both free cash flow and agency costs. In conclusion, having excess free cash flow can lead to agency cost issues, and managerial ownership is not a one-size-fits-all solution.