Which of the Following Statements Is FALSE

question 11

Multiple Choice

Which of the following statements is FALSE?

• A)Increasing the pay-for-performance sensitivity comes with the added benefit of reducing manager's risk.
• B)Stock and option grants give managers a direct incentive to increase the stock price to make their stock or options as valuable as possible.
• C)By tying compensation to performance,the shareholders effectively give the manager an ownership stake in the firm.
• D)During the 1990s,most companies adopted compensation policies that more directly gave managers an ownership stake by including grants of stock or stock options to executives.

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Definitions:

Date Rape

A form of sexual assault where the perpetrator and victim have a prior acquaintance or are on a social outing together when the assault occurs.

Latent Functions

Unintended or less obvious consequences of social structures or activities, which may differ from their intended purpose.

Dating

The process of meeting people socially for possible mate selection.

Homogamy

The practice of marrying someone who is similar to you in background, such as race, ethnicity, social class, education, or religion.