Asked by Christina Silverio on May 01, 2024
Verified
Which of the following is an issue related to executive compensation?
A) Little or no relationship seems to exist between the performance of an organization and the compensation paid to its senior executives.
B) Most senior executives are exempt from the perquisites provided by an organization to its employees.
C) Executive compensation in the United States is far lower than that paid to senior executives in other countries.
D) Executive compensation only involves incentive pay, which is based on the years of service in an organization and commission from the clients brought to it.
Executive Compensation
The complete package of benefits, including salary, bonuses, stock options, and other perks, offered to an organization's top executives.
Senior Executives
Top-level managers or officers within a company, responsible for directing its strategy and managing its operations.
- Recognize the challenges and issues related to executive compensation and its alignment with organizational performance.
Verified Answer
ZK
Zybrea KnightMay 05, 2024
Final Answer :
A
Explanation :
Executive compensation often faces criticism for the perceived disconnect between the compensation of senior executives and the actual performance of the organization. This issue highlights concerns about fairness and effectiveness in incentivizing top executives.
Learning Objectives
- Recognize the challenges and issues related to executive compensation and its alignment with organizational performance.
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