Introduction to managerial finance - Governance and Agency

4 important questions on Introduction to managerial finance - Governance and Agency

What are incentive plans?

Management compensation plans that tie management compensation to share price; one example involves the granting of stock options.

What are performance plans?

plans that tie management compensation to measures such as EPS or growth in EPS. performance shares and/or cash bonuses are used as compensation under these plans.

What are performance shares?

Shares of stock given to management for meeting stated performance goals.
  • Higher grades + faster learning
  • Never study anything twice
  • 100% sure, 100% understanding
Discover Study Smart

What are cash bonuses?

Cash paid to management for achieving certain performance goals.

The question on the page originate from the summary of the following study material:

  • A unique study and practice tool
  • Never study anything twice again
  • Get the grades you hope for
  • 100% sure, 100% understanding
Remember faster, study better. Scientifically proven.
Trustpilot Logo