Course Solutions Uncategorized (Answered) : Owesnion 10 Which of the following help convince managers to work in the best interes the stockholders? I Cosmpensation bansed on

(Answered) : Owesnion 10 Which of the following help convince managers to work in the best interes the stockholders? I Cosmpensation bansed on

June 27, 2024June 27, 2024| adminadmin| 0 Comment| 7:43 pm
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Owesnion 10 Which of the following help convince managers to work in the best interes the stockholders? I Cosmpensation bansed on the performance of the stock t Stock option plans Im. Threat of a company takeover IV Threat of creditors a. I and II only b. Ill and IV only

Expert Answer

Compensation based on the performance of the stock and stock option plans will help convince the managers to work in the best interest of the stockholders.

So, the answer is (a) I and II only

The main reason for this is these two features align the interests of managers

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