Which One of the Following Forms of Compensation Is a Based

question 10

Multiple Choice

Which one of the following forms of compensation is a based upon the achievement of performance goals for a period?

• A) Perk.
• B) Stock option.
• C) Performance shares.
• D) Bonus.
• E) Salary.

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Definitions:

Common Shares

Equities that represent ownership in a corporation, providing voting rights and a share in the company's profits through dividends.

Expected Rate of Return

The anticipated amount of profit or loss an investment is projected to generate, given certain assumptions.

Growth Rate

The rate at which a company's earnings, revenue, or other financial metric increases on a yearly basis, expressed as a percentage.

Stock Market

A public market for the trading of company stock and derivatives at an agreed-upon price; it's a key economic indicator and a measure of a nation's economic strength.