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Author Question: One problem with compensation systems is that A) sometimes a manager is rewarded for an objective ... (Read 35 times)

lracut11

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on: Jul 1, 2018
One problem with compensation systems is that
 
  A) sometimes a manager is rewarded for an objective other than maximizing profits.
  B) managers are often paid too much.
  C) owners sometimes want to pursue social objectives.
  D) the Dodd-Frank Act of 2010 requires shareholder votes on compensation that are non-binding.

Question 2

If Ben values good X more than good Y and Catherine values good Y more than good X a firm can increase its profits by
 
  A) charging the same price for both goods.
  B) bundling the goods.
  C) selling the goods in a competitive market.
  D) charging one price per good.


nyrave

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Reply #1 on: Jul 1, 2018
Answer to Question 1

A

Answer to Question 2

B


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