When executive compensation is based on the organization’s financial results, which of the following situations is most likely to arise?

When executive compensation is based on the organization’s financial results, which of the following situations is most likely to arise?
A . The organization reports inappropriate estimates and accruals due to poof accounting controls.
B. The organization uses an unreliable process forgathering and reporting executive compensation data.
C. The organization experiences increasing discontent of employees, if executives are eligible for compensation amounts that are deemed unreasonable.
D. The organization encourages employee behavior that is inconsistent with the interests of relevant stakeholders.

Answer: D

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