Question 1 what is wrong with tying management bonuses to, Ask an Expert

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Question: 1. What is wrong with tying management bonuses to earnings per share? What measure would you propose as a management performance metric?

2. The management of a firm that ties employee bonuses to return on common equity repurchases some of the firms outstanding shares. What is the effect of this transaction on shareholders wealth?

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Basic Finance, Finance

Category:- Basic Finance
Reference No.:- M92299857

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