Which of the following is not true regarding the use of linear compensation plans?
a. Under such plans, managerial reward is independent of budgetary targets.
b. Such plans strongly link managerial compensation to the agreed-upon budget.
c. Such plans encourage "gaming" behavior on the part of managers.
d. Under such plans, managerial reward is based principally on actual performance.
e. Under such plans, managerial reward is based on what managers actually do, not what they do relative to what they say they can do.
b. Such plans strongly link managerial compensation to the agreed-upon budget.
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All nouns used in a business message are concrete words
Indicate whether the statement is true or false.
Betty is contemplating purchasing shares in Daily Bugle Corp and holding them for 2 years, at which time she will sell them. The market price of these shares is expected to be $36.50 in two years (after the second dividend)
The next two annual dividends are expected to be: D1=$1.00 and D2=$1.20. The first dividend will be paid on one year and the second in two years. Betty requires a return of 11%. What is the maximum price Betty is willing to pay for shares in this company? A) $30.53 B) $30.60 C) $31.33 D) $31.50 E) $31.99