Retention Bonuses Refer To

question 51

Multiple Choice

Retention bonuses refer to:

• A) the special reward programs used to satisfy the lower and middle level managers.
• B) the bonuses provided to union members to withhold a strike decision.
• C) the bonuses provided to employees who take long leaves without pay.
• D) annual incentives paid to daily wage workers to remain in the organization.
• E) one-time incentives paid in exchange for remaining with the company.

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Definitions:

Market Value

The current price at which an asset or service can be bought or sold in the open market.

Equity

The value of an ownership interest in a company, calculated as the company's assets minus its liabilities.

Debt

An amount of money borrowed by one party from another, usually with the condition of repayment with interest.

Put Contract

A financial contract granting the owner the privilege to sell a certain asset at a predetermined price during a set period.