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An executive compensation scheme might provide a manager a bonus of $W for every dollar...

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Accounting

An executive compensation scheme might provide a manager a bonus of $W for every dollar by which the company's stock price exceeds the cutoff level $V. The arrangement is equivalent to issuing the manager

A. put options on the firm's stock with strike price $W

B. put options on the firm's stock with strike price $V

C. call options on the firm's stock with strike price $W

D. call options on the firm's stock with strike price $V

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