Designers of Executive Compensation Plans Emphasise Which of the Following

question 81

Multiple Choice

Designers of executive compensation plans emphasise which of the following factors?

• A)Administrative ease
• B)Achievement of organisational goals
• C)The probability that the executives affected by the plan will perceive the plan as fair
• D)All of these answers are correct.

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Definitions:

Subjective Evaluation

An assessment based on personal opinions, feelings, or tastes, rather than external facts or criteria.

Signal-Detection Theory

A means to quantify the ability to discern between information-bearing patterns and random patterns that distract from the information.

Perceptual Ability

The capacity to interpret and make sense of information gathered through the senses.

Response Tendencies

The habitual patterns or tendencies of an individual to react in a particular way to stimuli.