Profit-Sharing Is a Motivation and Incentive System Where Executives Receive

question 29

True/False

Profit-sharing is a motivation and incentive system where executives receive stock options.

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Definitions:

Substantial Performance

A legal principle indicating that a party has fulfilled enough of its contractual obligations to warrant payment, even if minor details were not completed as specified.

Conditional Contract

An agreement where the obligations or terms are only to be fulfilled if certain conditions are met.

Condition Concurrent

A situation in a contract wherein the parties involved must perform their respective obligations at the same time.

Washing

Typically refers to cleaning something by immersing and agitating it in water or another liquid.