Which One of the Following Situations Is Most Apt to Create

question 3

Multiple Choice

Which one of the following situations is most apt to create an agency conflict?

• A)Compensating a manager based on his or her division's net income
• B)Giving all employees a bonus if a certain level of efficiency is maintained
• C)Hiring an independent consultant to study the operating efficiency of the firm
• D)Basing management bonuses on the length of employment
• E)Laying off employees during a slack period

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Definitions:

Phallic Stage

A phase in Freud's psychosexual development theory occurring between the ages of three and six, where the libido's focus is on the genital area.

Latency Development

A phase in psychosexual development following the phallic stage, characterized by a decrease in sexual urges and interests.

Conflict Resolution

The process by which two or more parties find a peaceful solution to a dispute, disagreement, or divergence of views and interests.

Free Association

A psychoanalytic technique in which a patient says whatever comes to mind, intended to reveal unconscious thoughts and feelings.