With respect to executive compensation, which statement is not valid? Multiple Choice Stock returns are...
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Accounting
With respect to executive compensation, which statement is not valid?
Multiple Choice
Stock returns are the best way to align managers' and owners' interests since management's actions control the share price in both the short and long term.
Compensation packages are designed to minimize conflicts of interest.
Use of accounting earnings should not be used due to its reliance on valuations that involve subjectivity and judgments.
Executive compensation components are generally linked to stock returns andor financial performance measures.
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